Markets Gap Into Resistance
The SPDR S&P 500 ETF (NYSE:SPY) opened sharply higher today on the back of continued optimism on the global economy. Things remain somewhat quiet in the Middle East, Japan and even Europe. The markets have adapted to the craziness of the last month and at this point, unless something new happens, the markets seem to be in rally mode again.
The SPY opened higher at $130.40, just below a major neck tie resistance point on the daily chart. This level is made up of the 20 moving average and the 50 moving average. In the short term this may keep the markets from breaking higher.
One of the other positives for today in the market is Best Buy Co., Inc. (NYSE:BBY). Best Buy reported better than expected earnings this morning and is sharply higher. Durable goods orders and jobless claims were also reported approximately in line with estimates.