Filed Under: Tickers in this Article: DIA, SPY, IWM, QQQ
Volatility continued to rule this week as the markets
experienced a negative close every single day. Overall, the
markets ended well off their recent highs, and most indexes also
fell back below their 50-day moving averages. With all the
uncertainty surrounding a debt reduction deal in Washington, it
has been very difficult for the markets to sustain any semblance
of strength. The stock market is already oversold on many
measures and rapidly approaching recent support levels. This
could be setting the stage for a bounce next week, but there is
always the possibility of a flush, especially in this news
driven market.  The S&P500 as represented by the S&P 500 SPDRS
(NYSE:SPY) had a near vertical decline this week as it retreated
from the $135 level. SPY had a difficult time sustaining any
intraday strength as it seemed a politician was on television
doubting a deal at every turn. SPY is rapidly approaching its
200-day moving average and a rising trendline