John Mylant's  Instablog

Daily Trading Analysis

• RSI- the SPY has pulled itself out of over sold territory but it is still very bearish at 36.49! The RSI is presently following the trend of the stock so there is no knew news here. We are very bearish. Have a long fight out!
• Bollinger Bands- Last week we say the SPY slide down the bands and now it is moving out from the slide. We will see if it can continue out or if it is going to fall back into the bearish slide.
• MACD- like the RSI, this is very bearish and there are no signs of a quick turn around. We are waiting to see when the short(click to enlarge) term MA crossover will take place. e need this just for starters. It is a long way off.

Current Events--

Stock index futures fell on Wednesday as caution prevailed ahead of a meeting of European leaders and on mounting concerns over Greece's future in the euro zone.

A weaker-than-expected revenue forecast from computer makerDell also weighed on investor sentiment.

Leaders of the 27 EU countries are to meet in Brussels later in the day for a summit expected to deal with Europe's economic woes but also ways to prevent debt-mired Greece from skidding into a chaotic bankruptcy. The leaders are to consider ways to generate growth and discuss the idea of regional bonds to be jointly underwritten by all euro zone member states. However, Germany has already reiterated its opposition to such a move.

Gold prices fell to a 4-1/2-month low on Monday, as the dollar strengthened and investors liquidated risky assets after political deadlock in Greece fed worries that the country could default, worsening the euro zone debt crisis.

"The selling is from continued concerns over Europe and particularly Greece. Gold is behaving as a risk asset. We're obviously continuing to see upward pressure on the dollar against the euro," said CIBC, Peter Buchanan, senior economist at CIBC World Markets in Toronto.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.