back at the 50

With the sharp move down the last 2 days the first major line of support (line 2.) comes into easy reach and I would expect to see some consolidation of the down move, a pause or even a bounce in this area. If we break that line then as with the line 1 break, then line 3 becomes the target.

The oscillator is showing weakness again and this is a reminder that when the oscillator is weak (but not oversold) that further weakness can be expected and not to trust any buy signals.

Chart of S&P500 for April 8 2014

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