It seems appropriate to take a look at the SPYs for the year.
A.) The market bottomed in March on extremely high volume indicating a selling climax.
B.) The market rallied from the lows in March to early June. Prices ran into upside resistance around the 200 day EMA
C.) From June until mid-July prices formed a downward sloping pennant pattern. Prices hit just a bit below the 50 day EMA
D.) From early July until early December prices rallied. However, notice that prices are arcing -- that is, their overall trajectory is decreasing.
E.) In December prices have stalled and are forming what appears to be a rectangle consolidation pattern.
F.) The biggest problem with the rally is that volume has continually decreased as prices have moved higher.
