MarWk1 - The SPY as of Thursday's market closing has dipped slightly ($0.3) to close at $151.61. This market movement is somewhat uncertain as it did try to climb upwards towards breaking the 2007 all time high at the start of trading, but the excitement kind of fizzled out by market close into negative territory.
What is more important is the beginning of a convergence of two moving averages in the ichimoku indicator. The Tenkan Sen and Kijun Sen have met each other. While price is still above the moving averages, there is still no cause for worry as yet. All is contingent on what happens tonight. Will it go up some more or will it mark the start of a downward trend?
If the SPY dips significantly enough tonight (Friday trading day) and the Kijun Sen Crossover the Tenkan Sen, then we are gonna see a change in trend, and that means the market is going into bearish territory. If it is a large bearish candlestick tonight, then I will definitely be on the lookout for a Put Spread to sell and lock in an Iron Condor. :)
Well, let's see how it goes tonight. In any case, it is quite unlikely that the markets will go up to $154.5 at closing. That said, I can safely say, my trade is safe. :)
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