Continued Selling In The Stock Indices

As discussed in last night’s Briefing, there was a slight divergence in breadth on a lower low that led to a short countertrend rotation higher. However, when news hit about SVB closing, selling began again. Breadth was at an extreme, leading the Market to reach a point of being extremely oversold into the close. If there is a lower low on Monday, monitor breadth. If it is diverging, expect another rotation up to work off the oversold condition.

Leave a Reply

Your email address will not be published. Required fields are marked *