July 18th Daily Market Comments

The NASDAQ is showing good strength today, potentially forming another little J-hook pattern to the upside. The Dow and S&P are also trading positive but not with any great strength so far today. Although the uptrend remains in progress, there still remains signs of a possible profit-taking reversal. The gap up in the indexes on Thursday, as well as moving away from the T-line in the overbought condition, makes the prospects of a reversal more likely. Continue to stay long but be prepared to take some profits on signs of weakness in the market.

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