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SPY & TLT Technical Analysis

|Includes: SPDR S&P 500 Trust ETF (SPY), TLT

- As expected in my 9/13 posting, SPY is moving sideways in a very tight range. Economic indicators announced this week thus far have been overall supportive of the market, but have come in mostly in expected range.
- All indicators are still in bullish territory, but I am raising my stops to 111.5 and 109.5, respectively.
-There is something significant going on in the long-term bond market. Yields are rebounding quickly & bond prices, as reflective by TLT ETF are dropping quickly. If money is coming out of bond market because of improving economy expectations, that would be supportive of the stock market and would push SPY higher, above 113.2 resistance.
-However, if long-term bond yields are rising because of higher uncertainty and growing concerns of U.S. government borrowing capacity, this would not be supportive of the stock market.
- SPY implied volatility is at 20 and ETF indicator is at 19.6. I would go neutral vol and be ready to adjust positions when SPY move out of 111.55 - 113.35 range.