Markets Near Term Neutral but Improving

$SPY
– has been struggling with the declining 50 dma (currently 141.95) for last 6 sessions
– touched the 61.8% retracement of the Sept high to Nov low on Nov 30
– struggling with declining (slightly) 5 DMA currently 141.73
– bigger prior support 143.50-144.00 has been resistance
– possible inverted head and shoulders pattern forming
– needs to clear 142.20 for near term improvement to be trusted

$QQQ
– found sellers on Monday after gap up thru declining 50 DMA (currently 65.89)
– pattern of lower highs and lower lows below declining 5DMA
– needs to recapture 65.80 for near term improvement to be trusted

$IWM
– has shown relative strength over last week as it has held above declining 50 DMA (currently 81.62
– possible inverted head and shoulders pattern with neckline at 83.00
– below 81.45 would be bearish

$XLF
– holding above flat 50 DMA (currently at 15.78)
– holding above prior important support/resistance area of 1570-1585
– back below 1570 would be negative

click charts to enlarge

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