Hello my Investors, Traders and Reader Friends. Yesterday the market fell slightly. The DJ-30 under 0.41%, the SP-500 decreased 0.47% and the Nasdaq Comp. it did in 0.67%. This decline should not be more than a pause in the upward path. There is however some aspects that I think are worth mentioning.
On the one hand, this fall has been accompanied by an increase in the volume of shares traded. This could indicate some panic among investors. On the otherhand, yesterday's decline has been general. In the case of DJ-30 only 9 stocks rose, while 21 fell. In the case of the SP-500, only 137 stocks rose and 363 stocks fell. In our internal list of growing stocks, only 19 stocks rose out of 71. This means that yesterday there was no rotation between sectors but a general fall in the market. A third aspect has to do with the levels of "support and resistance." We have been sayin that in the case of DJ-30, the level of 13,000 points is just a psychological resistance level. From my point of view, the resistance level "technical" is placed around 13,130 points. Yesterday, the DJ-30 came to 13.050 and immediately backed off (again) even belowthe 13,000 points. This means that the market is facing a difficult "real" to continue to rise. This is the third time in excess of 13,000 points and then can not support them. Finally, our Stock Picks System did not find any breakout yesterday with a pattern of positive prices. This is clearly unusual and reflects a defensive behavior by investors. Of course this was just one day. Therefore, it remains to be seen what happens in the next few days to see if itconfirms the rising trend or enter a pause.
No comments:
Post a Comment