Daily Market Commentary: Selling Pressure Emerges

The selling from yesterday carried over into today, and markets worked themselves lower. However, markets took advantage of support where available.

The Nasdaq clung on to its 200-day MA, despite a brief move below this key support level intraday. Volume climbed in confirmed distribution, so the respite at the 200-day MA may be brief.

The S&P touched the 50-day MA at its low, but there is probably more downside to come.

The Russell 2000 hasn't hit any moving average yet, and could comfortably take a third day of selling before it would.

Friday probably won't offer a whole lot.  A late rally would help shore up confidence going into the weekend, but the November-December rebound could take a more substantial pullback and still be considered bullish.


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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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