Daily Market Commentary: Mixed Bag
The S&P reversed off resistance and came close to testing its 50-day MA. Tomorrow will likely see a proper test of this key moving average.
($SPX)
via StockCharts.com
The Nasdaq took a big reversal hit, but held back-test support of former resistance turned support.
($COMPQ)
via StockCharts.com
On the flip side, the Russell 2000 having cracked below support its subsequent rally only did enough to confirm support-turned-resistance.
($RUT)
via StockCharts.com
In terms of market breadth. The Nasdaq Summation Index joined the Percentage of Nasdaq Stocks above the 50-day MA as net bearish.
($NASI)
via StockCharts.com
The increasing bearish turn in supporting breadth raises the likelihood for further near term downside in markets (Nasdaq). Tomorrow's tests of 50-day MA for the S&P and Dow are key for these averages and what it means for the Nasdaq and Russell 2000. Buyer beware...
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