Market Recap 08-10-10

Today was Fed Reserve day on Wallstreet and was a crazy and volatile one at that.  Stocks gapped down and and remained in the red for most of the day.  After the Feds anounced they were going to leave rates unchanged due to the economic recovery slowing down, The markets good recovered most of the days losses but pulled back end of day with the Nasdaq taking the biggest beating down 1.24%.

After all the chopiness today, the markets still remain neutral with the S&P closing slightly over the 200SMA.  Many large Cap Stocks like $BIDU $AMZN $NFLX $RIMM etc, held up well during the battle and were the first to lead the market after the Fed Statement. The S&P still remains rangebound and I would like to see a break above 1146 to confirm a continuation of a bullish move. I currently have a slight bullish bias after watching the way many Market leaders have acted.  Also, we have had a few gap down days in which many of the losses were recovered within the same day, forming candles with longer lower tails, indicating buyers stepped in on the sell off. The S&P also remains above the 200SMA and RSI still above 50... Only time will tell...

I currently hold small Sept Call positions in $BIDU $RIMM $NFLX and $AAPL which is the biggest one. I am prepared to add to positions if I see confirmation of a breakout or stop out If I see a breakdown.

SPX Daily chart: