Good evening StockBandits!
Monday’s move involved an early headfake to the upside, and today we got the opposite. Stocks tumbled shortly after the open to move deep into negative territory, only to fully reverse and recover between mid-morning and mid-day. Once positive, each of them stayed there until the closing bell, with the NAZ being the only exception (down 4).
This zig-and-zag action can be nauseating if you’re expecting follow through, but when caught in a trading range, that shouldn’t be the case. The entire premise of a range is that price is constricted and unable to make lasting headway, so frequent reversals and shifts of mood are to be expected. And we’re still caught in a range!
That makes it a flipper’s market, so be quick and nimble or be sidelined. Those are the main choices right now, but being at the upper end of the range in most of the averages, a breakout could still happen at any time.
Let’s get to the charts.
Bullish Watch (click for charts)
Bearish Watch (click for charts)
Trade Like A Bandit!
Jeff
