Late Day Selling Hits the Indices

The Indices had a decent short-term selloff in the last 45 minutes of trading today that also caused a volume spike. Short-term support was traded through and that is now resistance. While this selloff has the potential to extend lower, I am cautions. The Market has sold off previously but then sellers disappear and buying the dip traders step in and drive price higher. Trading below today’s low will suggest the possibility of approaching intermediate-term support. If that occurs, it will be very important to the analysis and developing strategy.

Leave a Reply

Your email address will not be published.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