Friday, July 24, 2009

07.24.09 - Post Rally Range Day

Is this consolidation for SPX 1,000, or a set up for some short-term profit taking? That will be the question on traders' minds all day long and into next week. So far we have seen a ten-point range limited by the daily floor trader pivot. Although we got off to somewhat negative start, yesterday's after-session lows held on stabilization in the Nasdaq, falling VIX and recovering Cumulative Tick and Advance-Decline lines. Those elements have since flattened and remain net negative on the day, setting up a potential push back towards the pivot if they can't firm up once more.

Ponzo Update as of Last Night's Close

Note range lift from last week.


Never Investment Advice

No comments: