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Rally in SPY Short ETF

Mike Paulenoff
0 Comments| August 10, 2009

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Purely from a pattern perspective, the ProShares UltraShort SPY (NYSE: SDS, Stock Forum) pattern off of Friday’s low at 44.35 to this morning’s high at 45.59 exhibits bullish form, which if accurate warns us to expect more upside in the upcoming hours. After an intervening pullback to 45.01, the current rally has the look and the underlying oscillator power to test – and likely hurdle – 45.59, which should trigger upside follow-through towards a revisit of more important resistance at 46.50/65. Only a break of 45.00 will begin to compromise the near-term technical set-up.


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