Support Levels to Watch

07/01/2010 10:10 am EST

Focus: STOCKS

Thomas Aspray

, Professional Trader & Analyst

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Another ugly close on Wednesday, and Monday’s negative A/D numbers before the close indicated lower prices, not higher ones. The market is clearly getting oversold with the Arms Index at 5.5 on Tuesday, and even very weak jobs numbers may not push stocks much lower. The key averages are approaching the 38.2% support at 2050 for the NASDAQ and 1010 for the S&P, with the 50% levels at 1900 and 940, respectively. The McClellan Oscillators are still well above the June lows, but are declining as they reversed course on Monday.

Tom Aspray, professional trader and analyst, serves as video content editor for MoneyShow.com. The views expressed here are his own.

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