The Unwinding

spx_weekly

Now that summer’s over we’re expecting to see volume pick up the pace with trading desks full manned.

Tuesday’s Accumulation of shares, as evident by strong rallying with volume above the previous trading day, would give one the impression that buying will remain en vogue.

But beware the head fake.

Market movers love shaking out weak-handed shorts.

We might see further advances until the pain is too much, causing short sellers to unwind.

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