Despite all the volatility in the market last week, the S&P 500 still remains in a short to mid term uptrend. Why is this important? Numerous trading programs buy into the market as the price of the S&P 500 nears these trend lines. A violation of the trend line is an indicator that major institutional traders are not willing to put any more money into the market and may begin selling.
While rising oil prices will have an impact on the economy, traders are not willing to sell at this point: