Brief Recap and Updates on the MarketsSPY Charts and some Technical Analysis In Monday's action: Dec. 30, 2019Dow 28462.05 -183.12 (-0.64%)Nasdaq 8946.02 -60.62 (-0.67%)SP 500 3221.29 -18.73 (-0.58%) Stocks ended lower as the market gave in to profit-taking and pulled back from an overbought condition. News to keep in mind Tuesday morning: * read about the Money Flow below - use caution. Futures trade vs fair value were trading slightly higher late last.Dow +29, S&P +3, Nasdaq +15, Russell +3.The biggest factors in the market right now are; the Global Economy, China trade deals, Fed speak, and the US Treasury markets.Keeping an eye on the VIX - The CBOE Volatility Index is down under 14, this is a full risk on level.CHINA TRADE news is still something to be aware of and can create instant volatility. Today's Economic Calendar:9:00 AM ET, FHFA House Price Index for October 2019. This was originally a GSE only repeat sales, however there is also an expanded index. 9:00 AM, S&P/Case-Shiller House Price Index for October. The consensus is for a 3.2% year-over-year increase in the National index for October. THE CHARTS: (NOTE: Charts are a good guide but when a tweet or news item can jerk the markets around, they mean a bit less.) The markets ended lower on Monday after spending many days in an overbought condition. Our chart's technicals have stayed about the same today, with the exception of the Stochastics declining today. Tomorrow they maybe be out of the overbought area. The market did need a rest/pullback. A such though, we are still inclined to buy the dips currently as long as our support levels hold. We would use these support levels as 'stops' for some of our positions. We use the last breakout point at SPY 314 as a possible support level to watch, as well as 317.50. [Repeated] We still view the current set-up under 'normal conditions' is still telling us we should continue to move sideways or up. We notice the 20, 50, and 200 day moving averages are all in alignment and are all moving higher. The current price is also above the 20, 50, 200 MAs, which is good. BUT - Keep in mind and how far we have risen and how fast we have gotten this high, a bit of caution is needed. Although at the same time, there is nothing saying we won't just keep drifting to new highs for the rest of the year and start of the next. As we previously written, you can let winners run, but we would not use excessive margin or open any new large positions. [/Repeated] The Vix has spiked the last two trading days, but is still under 15. Which is still risk on for the markets. The MACD is positive. The Stochastics are high/overbought. The Money Flow is neutral, but had been declining *CAUTION*. We are above the 50-day MA. The 20,50,200 day moving averages are in a positive alignment and heading higher. The 50-day MA (309.95)(+0.47) and the 200-day MA (293.52)(+0.22) On the 9-month chart below, we remain in a wide uptrend channel that has lasted now for 6 months! Caution though as we are above the upper trend line now, which is an overbought look. In many cases we drop back down into the channel. Nasdaq Composite +34.8% YTDS&P 500 +28.5% YTDRussell 2000 +23.4% YTDDow Jones Industrial Average +22.0% YTD $DIA $SPY $QQQ $IWM Disclosure: I may trade in the ticker symbols mentioned, both long or short. My articles represent my personal opinion and analysis and should not be taken as investment advice. Readers should do their own research before making decisions to buy or sell securities. Trading and investing include risks, including loss of principal. If you liked this article, please click the LIKE (thumbs up) button. Feel free to leave any comments, question, or opinions. (Sign-up if you haven't already done so). Follow us/bookmark us and check back occasionally for additional articles or comments on our page... Wild Tiger Trading - start/main page. With our Daily Trackdowns, check back for additional analysis/observations during the trading day in the comments by us or our readers.