Target Achieved As Market Spikes Higher
The markets spiked higher today as good news poured out of Europe and China. China appears willing to ease interest rate policy to offset issues in Europe. In addition, earnings from Alcoa Inc. (NYSE:AA) were solid. These positives pushed the market higher into the master $129.50 level on the SPDR S&P 500 ETF (NYSEARCA:SPY). This level was given over the last week multiple times. The charts clearly pointed to this level as a target. Sure enough, the level hit and profits were made.
Chinese stocks are on the rise today. After a two day rally in the Shanghai Index, beaten down China plays are surging. Today, key moves are being seen on China solar stocks. Suntech Power Holdings Co., Ltd. (ADR) (NYSE:STP) and ReneSola Ltd. (ADR) (NYSE:SOL) are both inching higher off their 52 week lows.
After this master level was achieved on the SPY, all Wall Street players are wondering if the market has any further upside. The answer is yes, quite possibly. As volume remains light, upside is likely to the SPY $132 - $133.