Today’s selling so far has brought the Dow and the S&P 500 back down below the 200 day moving average, the suspected support level. With stochastics still heading down, it will be very important to see the indexes close back up above the 200 day moving average or else the 50 day moving average will become the next support level. It will be very important to be analyzing long positions at this point, making sure they do not have reversal signals and starting to close below their T-line’s.
November 12th Daily Market Comments
Today’s selling so far has brought the Dow and the S&P 500 back down below the 200 day moving average, the suspected support level. With stochastics still heading down, it will be very important to see the indexes close back up above the 200 day moving average or else the 50 day moving average will become the next support level. It will be very important to be analyzing long positions at this point, making sure they do not have reversal signals and starting to close below their T-line’s.