Short Term SP update and possible Triangle pattern.

Last update for the year, shorter term update for the day traders out there. Next short term upside target for the benchmark comes in around 1310 spx as shown in top chart above. This will take out the last swing high marked as the horizontal red line. Trend line support shown rising below. Of course in our last post long term next upside target continues to remain 1376 approximately.

The chart below is the SPY or the exchange traded fund that most closely tracks the S+P. It appears to be forming a triangle pattern with downside trend line support below and upside resistance above. The Blue horizontal line just shows where we started the 2011 year trading at. A breakout in either direction will produce a nice trending move, of course you know my bias coming into this, I believe the break will be to the upside barring any unforeseen macro events.

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