The escalating rhetoric of the trade wars has created a selling knee-jerk reaction that has taken the Dow and the NASDAQ back down to the 50 day moving average before starting to bounce back up. Obviously the lower open today indicated the potential bullish signals of yesterday were not going to confirm. Now the 50 day moving average becomes a viable support level to watch. Maintaining a heavier cash balance in the account is prudent until the August vacationing days are over. The T-line remains a viable trend indicator for existing positions.
August 15th Daily Market Comments
The escalating rhetoric of the trade wars has created a selling knee-jerk reaction that has taken the Dow and the NASDAQ back down to the 50 day moving average before starting to bounce back up. Obviously the lower open today indicated the potential bullish signals of yesterday were not going to confirm. Now the 50 day moving average becomes a viable support level to watch. Maintaining a heavier cash balance in the account is prudent until the August vacationing days are over. The T-line remains a viable trend indicator for existing positions.