Bearish Follow Through
It was a day which belonged to bears from start to finish. Bulls never got a look in, and worse still, indices are now challenging the recent October lows. The real challenge is the August swing low, but the Russell 2000 has moved one step ahead with a return break of the May low and a negation of the 'bear trap'. Andrew Thrasher's observations are even more relevant now. The Russell 2000 negated the 'bear trap', pushing itself into a zone of minimal support. Sideline bulls will probably be wary of generating a second 'bear trap' after what happened today. This gives bears a bit of a free run. It will also drag other indices down fast.