S&P 500 is extremely oversold in a medium-term basis as it fast approaching key support level. So, it wouldn’t surprise us to see an attempt to rally around the 880 level

標普500指數中期內已經嚴重超賣，同時價格正在快速逼近關鍵支撐位，因此指數在跌至880點附近之後出現反彈嘗試是不足為奇的。

Monday’s light volume selloff had helped remove the excessive optimism in the market and setting the stage for a recovery rally going into this Friday quadruple witching. So it seems to us that the bulls shouldn’t get into any serious troubles as long as we hold above the 920 level on the S&P 500 index. In a longer term however, the rally in the U.S. dollar could spell trouble for dollar-traded commodities, as well as the underlying commodity stocks. That, in turn, will cripple the quick economic recovery and thus drag down the entire stock market.

週一的低成交量下跌清除了市場中過分的樂觀情緒，並為本週五“四重魔力日”之前的復甦行情打下了基礎。因此在我們看來，只要標普500指數能夠堅守在920點上方，多頭應該不會遭遇太大的麻煩。不過從更長期來看，美元升值可能會給以美元計價的大宗商品及相應的商品個股帶來壓力，從而拖累整個股市。

Tuesday bullish trading action had helped setting the stage for a test of 950 in the S&P 500 index. Although the rally seems a little overextended in a short-term basis so it wouldn’t surprise us to see some sorts of consolidation over the next couple of days.