Today’s positive trading obviously reveals the T line was not going to act as resistance, especially informative for the Dow and the S&P 500. The gap up and positive trading in the NASDAQ demonstrates strong bullish sentiment has returned in that index. This should have instigated covering any short positions that were not continuing to show weakness. The portfolio should now be biased toward bullish trades.
June 27th Daily Market Comments
Today’s consolidation is not unexpected after the big price move in the markets on Friday. However, the assumption is that the uptrend is in progress as long as the indexes are now trading above the T line. Trading bias should be to the long side. There are still a few, very few, short positions still working.