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The SPYs are right above an important line of technical support and the index appears to be holding up well. However, note the second top is lower than the first top and the 10 day SMA is about to cross below the 20 day SMA. Also note that prices are below the 20 day SMA. Also note
The on balance volume is decreasing, indicating traders and money is moving out of the market.
The QQQQs are moving lower. Notice the second top is lower than the first top. In addition, the 10 day SMA has already crossed below the 20 day SMA. While prices are still above the 200 day SMA, they have clealry broken the uptrend they started in early March. Finally, the average volume is decreasing, indicating fewer people are participating in the rally.
The IWMs more closely resemble the QQQQs -- the 10 day SMA has moved below the 20 day SMA and prices are below the 20 and 200 day SMA. Also like the QQQQs, notice the average volume is decreasing.
Right now the markets are taking a breather from the March 3 rally. While prices haven't fallen, they are losing momentum. Keep a close eye on the SMAs and volume as they are important and key indicators right now.
