Well, volatility seems to have returned, which is great for daytraders. However, for the swingers, they're kinda' in no man's land...it's "Hurry up, and wait!"
In the second chart we can see that last week lows and this weeks bounce off the 50 maintained a parallel with the trend line at the top of the channel. You can see there is still a small gap from the Monday close. The blue rectangles are price gaps. The red rectangles are high-volumes done at that specific price level, which are likely to be inflection areas should price retreat there. The green lines are classic, horizontal price levels...well...call them price levels I think I see.
Looking at SPY we have a higher low where the Wed./Thu. candle combination is considered a bullish engulfing pattern, where Friday's action consolidated in the upper half of Thursday's move, all maintaining the channel slope...I lean toward bullish.
Interestingly enough, the IWM hasn't touched the 50 yet and volume hasn't been extraordinary:
One would have to think that the "risk on" index, IWM would start coming in before the SPY and the financials would have to break down, although the visual level of correlation between the spy and the financials must be damn close to 1.
The week that was:
You gotta' love Thursday's action...spy drops to the 50 day SMA then bounces north for the rest of the day, taking the other indexes with it...
The week that is:
One could argue that all of them look a tad bearish on these shorter term charts, but let's see what happens in Asia and Europe on Sunday night. Really, and I've said this before, bearish, bullish...meh...price action will tell. The rest is arguably a waste of mental energy. Figure out what you're going to do if price action brings you to a certain level and the setups tell you to go or not go.