Monday got off to a rocky start as stocks dipped below Friday’s low. A weak consumption figure did not help stocks get off to the right foot, but buyers were able to step in and kick up some buying. Volume was well off Friday’s bloated level after the Russell rebalance took effect. Comparing volume to Thursday’s session Monday’s volume was well below Thursday’s level. Not the type volume you would associate with accumulation in the market. Fortunately there were some leaders showing strength, but without the power of the market behind them they are likely to faulter. We may still have a bounce back up into the 50 day moving averages, but it is unprobable this move turns into a new bull run.
Short commentary tonight. This market is going to churn up people’s portfolios. Try and keep your sanity by staying prudent. Cut your losses short.
