Fluff The Rally

We’re officially on the watch for a potential bottom for the broader market.

Come Wednesday we’ll look for signs of institutional buying via high volume, or what we call a Follow Through Day, where an up day occurs on volume greater than the day before.

We expected some kind of rally as the S&P 500 hit its 200-day moving average.

Though we are not expecting to see a sustained rally. We’ll shift into a bullish bias if the volume shows up.

What’s more likely to happen is that the 200-day moving average be taken out on the downside. Markets always find a way to shake out holder, and such an event would do it.

See you soon,



No comments yet

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: