Most likely scenario here is that not everyone is using the same SPY trend line as support. Looking from a daily perspective I have marked three trend lines that are at least being watched by many. And this is just daily, not to mention weekly charts and also log charts. Point is...there is likely no "line in the sand" for this up trend.
They do all seem to meet in the 193-195 range and as a result will likely create some support but also some chop as we bounce around between them. Still have one to downside from my perspective...if hit next Mon/Tue it would line up with 193-193.30.
Nov-2012 line provided some support yesterday only to give way down to the Jan-2013 support line. Ultimately the SPY made a low right at the down trend channel that has been working since the ATH's. Until we break out of the channel, any upside strength could likely be met with selling. If the market rallies to the black support line broke yesterday...could be interesting place to go short.
They do all seem to meet in the 193-195 range and as a result will likely create some support but also some chop as we bounce around between them. Still have one to downside from my perspective...if hit next Mon/Tue it would line up with 193-193.30.
Nov-2012 line provided some support yesterday only to give way down to the Jan-2013 support line. Ultimately the SPY made a low right at the down trend channel that has been working since the ATH's. Until we break out of the channel, any upside strength could likely be met with selling. If the market rallies to the black support line broke yesterday...could be interesting place to go short.