The S&P 500 Index Just Broke a Long Term Up Trend - Do You Care?

Trading doesn't have to complex.

Sometimes simple indicators are better.  Trend lines are easy to follow and often meaningful.

Below is a weekly chart of the S&P 500 Index showing the recent break of an up-trend in place since 2009.  If price stays beneath this level, it will likely be tough for Bulls.

 

 

In addition to the trend line break, there is a negative divergence (where recent price highs happened with lower momentum).  Technicians often take this to be sign of weakness.

Let's see what happens.

Related articles

A Quick Look at S&P 500 and It's Likely Next Move

Is the S&P 500 Index at Its Likely Bounce Point?