Good evening StockBandits!
This morning, the stage was set for a big gap higher with the futures surging after the long weekend. However, the excitement dwindled quickly and turned ugly, in fact, as the opening gap was filled within minutes and the averages took a trip well into the red. Then we saw a late-morning bounce which was followed by a higher low, giving way to a 3-hour uptrend. When it was all said and done, the results were mixed.
Perhaps the best way to describe today’s action would be to classify it as denial. Everyone got denied. The bulls were denied the advance they appeared set to enjoy this morning, and then the bears were denied the downside reversal produced this morning. It was fickle and ugly and shook out just about everyone.
Tonight’s State of the Union address may set the early tone tomorrow, but after that, all bets are off. We have the ECB grabbing the spotlight later this week, and a market caught in a wide trading range with nearly every single gap of late getting filled. It’s a tough tape for anything besides quick flips, which is where my focus will be tomorrow.
Let’s get to the charts.
Bullish Watch (click for charts)
Bearish Watch (click for charts)
Trade Like A Bandit!
Jeff
