Daily Market Commentary: Strong Finish
After an opening sell off, markets were able to stage a strong recovery to finish the day near the highs. Volume was below yesterday's, but the end day gain was of greater importance.
The S&P was able to mount a successful defense of its 200-day MA, but technicals aren't yet net bullish. The 50-day MA is the overhead target. Relative strength remained in Small Caps favour
The Russell 2000 finished at channel resistance, but not before putting some distance from its 200-day MA. As with the S&P, the 50-day MA is overhead resistance.
The Nasdaq managed to overcome the rebound off the 200-day MA, and it was able to finish a shade above its 200-day MA. The next upside target is its 50-day MA.
Today's finish sets up for a move to 50-day MAs. Ideally, it would have been good to have seen some higher volume accumulation, but there is probably enough to see some upside follow through tomorrow.
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Dr. Declan Fallon is the Senior Market Technician and Community Director for Zignals.com. I offer a range of stock trading strategies for global markets which can be Previewed for Free with delayed trade signals. You can also view the top-10 best trading strategies for the US, UK, Europe and Rest-of-the-World in the Trading Strategy Marketplace Leaderboard. The Leaderboard also supports advanced search capability so you can tailor your strategies to suit your individual requirements.
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The S&P was able to mount a successful defense of its 200-day MA, but technicals aren't yet net bullish. The 50-day MA is the overhead target. Relative strength remained in Small Caps favour
The Russell 2000 finished at channel resistance, but not before putting some distance from its 200-day MA. As with the S&P, the 50-day MA is overhead resistance.
The Nasdaq managed to overcome the rebound off the 200-day MA, and it was able to finish a shade above its 200-day MA. The next upside target is its 50-day MA.
Today's finish sets up for a move to 50-day MAs. Ideally, it would have been good to have seen some higher volume accumulation, but there is probably enough to see some upside follow through tomorrow.
---
Follow Me on Twitter
Dr. Declan Fallon is the Senior Market Technician and Community Director for Zignals.com. I offer a range of stock trading strategies for global markets which can be Previewed for Free with delayed trade signals. You can also view the top-10 best trading strategies for the US, UK, Europe and Rest-of-the-World in the Trading Strategy Marketplace Leaderboard. The Leaderboard also supports advanced search capability so you can tailor your strategies to suit your individual requirements.
Zignals offers a full suite of FREE financial services including price and fundamental stock alerts, stock charts for Indian, Australian, Frankfurt, Euronext, UK, Ireland and Canadian stocks, tabbed stock quote watchlists, multi-currency portfolio manager, active stock screener with fundamental trading strategy support and trading system builder. Forex, precious metal and energy commodities too. Build your own strategy and sell it in the MarketPlace to earn real cash.
You can read what others are saying about Zignals on Investimonials.com.
JOIN ZIGNALS TODAY - IT'S FREE!
