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The S&P 500 rose during most of the session on Friday, but gave back its gains by the end of the day in order to form a shooting star. This essentially looks a bit like a double top, and as such we are a bit concerned for the short-term.
However, we think that eventually we do go higher as the lows have been so well supported recently. We are in a bit of an up trending channel, and as such we still favor the long side of this market. The shooting star represents to us a possible pullback as the market looks for more buyers to continue to push it higher. We do not think that some type of meltdown is coming, and as such aren't thinking about selling at this point in time. However, if we get a pullback of about 20 points and some type of supportive action, we would be willing to buy at that point. Also, we are obviously willing to go long if we break the top of the shooting star from Friday.