Welcome back everybody. Hope your weekend was a good one. But, if it wasn't, I think we can give you something good to start the week - and the summer - with. [The first day of summer isn't until June 21st, but for most of the country, the humid heat is already near peak levels. That's close enough for me.] We'll look at that in a second for you. First, let's slice and dice this maniacal market.
Happy Friday fellow traders, and for those of you who stayed long despite last week's (and earlier this week's) pullback, it was a very happy Friday for sure. Stocks roared for a second day in a row, pulling the market back into the black for the week.
I can't say to you that I think everything is great again and the rally is back on track, but I can tell you we've got some clarity on the market's next most-likely "tells".
Yep, as we worried, all it took was a mere brush with resistance today to send stocks back into the red. While some bulls will accurately point out none of the indices have actually broken under a key support level yet, we're going to stick with our bigger bearish bias for the time being. We got another clue that the undertow is pulling stocks lower with a little more force than the recent action might indicate.
First though, an answer to a question from a readers. Peter writes:
Hey all, hope your Monday went well. Honestly though, as far as stocks are concerned, I didn't see enough action today to change anything about our tentative look at things from Friday. Yes, the bulls were in charge today, right up until the closing bell. Even with Monday's 0.6% advance, however, the S&P 500 didn't even manage to make its way back above the 20-day moving average line. The buyers are going to have to do better than that to get us to rethink things. At the same time, the bears are going to need to hold onto the reigns better if this corrective move is really going to take hold, you know?
So, since we finally have some time and space, I thought we'd take a moment to answer your most common questions about the SmallCap Network Elite Opportunity. If you've been wondering what we're talking about when we mention the SCN EO to you every few days, here's your chance to find out, up close and personal.
Happy Friday folks. It may have been a shortened week, but I'm willing to guess that getting to the weekend is still just as sweet as it is when we've just wrapped up a five-day workweek.
Anyway, yes - we've got some thoughts on today's action, and some thoughts on the way the market became less and less exciting as the week went on. In fact, the waning volatility is the story.