SPX: Fed Sparks Bounce

Yesterday the SPX finished the day at the edge of green upward channel we put on a few weeks ago. This trend angle is the same as the angle it had in the March to May rally so we're just playing with the probabilities again.

It was bearish to close under the 30MA yesterday, but the SPX redeemed itself by closing almost 20 points above it today. The true test will come later this week when it will need to cross up and hold above 1290 to really prove that an upward move is on it's way.

As long as we stay in this channel my bias is a slow grind up to the 100MA (about 1330 to 1340).

SPX Daily Chart: