Tuesday, March 31, 2009

Stock Market Commentary: Breakdown Gap Tested and Closed

The sizable gap down from Monday was filled in late afternoon trading before bears returned to bring the indices back to their open price. The Nasdaq enjoyed a higher volume up day but the gap reversal suggests more downside to follow Wednesday.

The Russell 2000 shared a similar fate but held its 50-day MA by the close.

Look for further downside in all indices tomorrow

Dr. Declan Fallon, Senior Market Technician, Zignals.com the free stock alerts, stock charts, watchlist, multi-currency portfolio manager and strategy builder website. Forex data available too.