The S&P is poised for either a nice rally or a collapse under its support, I would be more inclined to enter a trade on the short side once the support is broken. If oil continues to fall it is going to drag the market and the dollar with it, couple that with the tear gold has been on I think that we can see bits and pieces of what will ultimately become a sizable market correction over the course of the next 6-12 months.
We have retraced 300 points or so off of its ALL TIME high, there is still plenty of room left for a further retracement, If on the off chance we rally back to 2100 and break out there there can be some leaps forward breaking in to new highs, but I highly doubt that.
As returns become better in other investment vehicles and interest rates rise money will be pulled out of the market and it will start a correction that is long overdue, do not get caught on the wrong side of it. If you are looking for long positions to hold I would sit on your hands for a while until we finish a sell off and establish a bottom.
We have retraced 300 points or so off of its ALL TIME high, there is still plenty of room left for a further retracement, If on the off chance we rally back to 2100 and break out there there can be some leaps forward breaking in to new highs, but I highly doubt that.
As returns become better in other investment vehicles and interest rates rise money will be pulled out of the market and it will start a correction that is long overdue, do not get caught on the wrong side of it. If you are looking for long positions to hold I would sit on your hands for a while until we finish a sell off and establish a bottom.