The Stock Indices have paused in multiple timeframes, suggesting there may not currently be enough internal strength to propel them higher. More importantly, the SPY and QQQ closed at the low of the day on Friday, suggesting they want to go lower on Monday. My indicator suggests the Market is tightening and there could be a good move in one direction or the other.
As you will see in the Briefing, Friday’s trading range could provide an excellent area for trade location. While the Russell is the strongest of the Indices, the others do not seem to want to follow.
Next week is a holiday week. Except for Monday, volume should start to fall off going into the holiday on Thursday. This will allow for the potential of false moves. In my opinion, what happens on Monday could be very important to the longer term price development.
DAILY BRIEFING 201121 from Joe Mertes on Vimeo.