Be ready to trade a bounce.

SPY is trading in the triangle and is not yet meeting the three months support line. This assumes that the bearish may continue. Many indexes of the 30min chart however show bullish divergence or bullish crossover and that may accommodate a bounce.

My trade setting for 12/15/2011
Bulls: Buy if 3 of 4 major Europe indexes (EURUSD, CAC 40, DAX, FTSE 100) are green and that one if sinks, not deeper than -0.25% and SPY opens in green or just in slight red (> -0.25%). Target 122.60 - 123.22.
Aggressive Bears: May short at a return down from 123.22 or above.
Cautious Bears: In waiting mode.

Reviewing the Trade Setting for 12/14/2011
My basket of indexes is now: EURUSD, CAC 40, DAX, FTSE 100
Bulls: May be in waiting mode.
Bears: Short if 3 of the 4 indexes above are red and pay attention to R/S levels. => Shorted 122.60 covered 122.00 scored 0.60.
Accumulated Score from 11/23/2011: 3.30 + 0.60 = 3.90

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