Brief Recap and Updates on the MarketsSPY Charts and some Technical Analysis In Tuesday's action: Jan. 21, 2020Dow 29195.95 -152.06 (-0.52%)Nasdaq 9370.83 -18.14 (-0.19%)SP 500 3320.79 -8.83 (-0.27%) The stock market closes lower on coronavirus outbreak headlines and Boeing ($BA) weakness. The fear is that the coronavirus will slow down economic activity. Boeing said it is not expecting to get regulatory approval for 737 MAX until mid-2020. News to keep in mind Wednesday morning: Futures trade vs fair value were trading higher late last night.Dow +126, S&P +13, Nasdaq +48, Russell +7.The biggest factors in the market right now are; the Fed, the Global Economy and Global Geopolitical conflicts/Iran.Keeping an eye on the VIX - The CBOE Volatility Index is still under 13, this is a risk on level.CHINA TRADE news is still something to be aware of and can create instant volatility.Middle East tensions could pop up in the headlines. Today's Economic Calendar: 7:00 AM ET, The Mortgage Bankers Association (MBA) will release the results for the mortgage purchase applications index. 8:30 AM, Chicago Fed National Activity Index for December. This is a composite index of other data. 9:00 AM, FHFA House Price Index for November 2019. This was originally a GSE only repeat sales, however there is also an expanded index. During the day, The AIA's Architecture Billings Index for December (a leading indicator for commercial real estate). 10:00 AM, Existing Home Sales for December from the National Association of Realtors (NAR). The consensus is for 5.43 million SAAR, up from 5.35 million. 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 Tuesday with coronavirus headlines. Watching the Vix and other moods of the market, we still favor that we are going higher. However, we still have the Stochastics at overbought and we are still a bit concerned with the 9-month chart. On that chart we are well over the uptrend line. So we still will stay a bit cautious. We now draw a tight stop/support line at 325 for those who like those things. Momentum is still for continued upside, however. Keep in mind we have come up a long way and a pause (sideways) or a pullback could happen at anytime. Our support levels remain the same, with the first support level being marked at 320. This level could also be used as a 'stop' for some positions if you have a low risk tolerance. Much stronger support is at 310. [Again] 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. [/Again] The Vix is still down at low numbers in the 12s, normally a full 'risk-on' area. The MACD is positive. The Stochastics are overbought. The Money Flow is positive. 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 (316.95)(+0.51) and the 200-day MA (296.86)(+0.24) On the 9-month chart below, we remain in an uptrend channel that has lasted now for 7-8 months! Caution though as we are currently above the upper trend line, which is an overbought look. In many cases we drop back down into the channel either by a pullback or by going sideways until under the upper trend line catches up. * For those who like to use stops or lock in profits, we would use the upper trend line as the place to do that, currently just above 321. * Nasdaq Composite +4.4% YTDS&P 500 +2.8% YTDDow Jones Industrial Average +2.3% YTDRussell 2000 +1.0% 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.