May 30th Daily Market Comments

The lack of strength/selling in the market indexes indicates there is no change of investor sentiment in the overall market trend. The only alert is the potential sideways mode of the Dow as seen prior to the big selloff two weeks ago. This would imply a Frypan Bottom type pattern with the sell off and recovery acting as the dimple. Currently, the lack of movement in the market continues to make the individual stock chart patterns the relevant analytical analysis. Staying long or short requires analyzing the specifics of each individual chart. Fortunately, there are still good profitable bullish charts as well as bearish charts. This is why we recommend Trend Analysis.