Today’s trading is a perfect example for illustrating that what ever investor sentiment was doing going into the close one day has nothing to do with what the investor sentiment might be at the open of the next day. Today’s weakness in the markets are on the verge of breaching the lower support levels. The Dow needs to close near the top end of its trading range today to maintain the wedge formation. The S&P 500 is trading below the T-line and the 50 day moving average. The NASDAQ has gapped down below the T-line, making the 50 day moving average a viable target if the markets do not close at the top of their trading ranges today. A close near the low end of trading today would make the drifting/sideways motion of the markets the predominant trend analysis. Continue to have both long and short positions in the portfolio.
March 19th Daily Market Comments
Today’s trading is a perfect example for illustrating that what ever investor sentiment was doing going into the close one day has nothing to do with what the investor sentiment might be at the open of the next day. Today’s weakness in the markets are on the verge of breaching the lower support levels. The Dow needs to close near the top end of its trading range today to maintain the wedge formation. The S&P 500 is trading below the T-line and the 50 day moving average. The NASDAQ has gapped down below the T-line, making the 50 day moving average a viable target if the markets do not close at the top of their trading ranges today. A close near the low end of trading today would make the drifting/sideways motion of the markets the predominant trend analysis. Continue to have both long and short positions in the portfolio.