Good evening StockBandits!
The rebound we’ve seen in the past couple of sessions paused today, although the indexes finished mixed and little-changed from yesterday’s closing levels. The S&P 500 was the laggard with a 6-point decline, while the NAZ posted a fractional gain. Given the volume on the bounce and the lack of overall upside progress (it’s only been a minor rebound toward the January highs), today’s stalled-out action may be suggesting another round of selling could be upon us sooner than later.
The dip-buyers clearly haven’t been comfortable of late, and if a 2-day bounce is all this market can put together after a 7% drop in 8 days, then there still isn’t much for the bulls to hang their hat on. If the bounce is able to resume tomorrow, then I’ll certainly respect it and wait for another indication at a later date to indicate fatigue. However, if we do see some sellers arrive on the scene tomorrow, it’s likely to prompt more cash-raising efforts by those holding some inventory.
Please leave your comments and/or questions below if you have any, I always enjoy the interaction.
Here is tonight’s video:
The Bandit Broadcast Video – Click to Watch!
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Video Stocks Discussed: EEV, MHP, H, CAT, WDC, BTU
Swing Trading Candidates:
NONE TONIGHT
Bullish Watch:
EEV, MHP, LYV, SMN, LEA, ILMN
Bearish Watch:
H, WLL, BHP, NFX, MCO, XCO, IOC, MT, COF, CAT, OIS, SWSI, AVY, RKT, COH, WDC, AVB, DFS, X, BTU, FLS, CERN
The Hit List will be coming out soon with discussion on open positions and swing trade stops and targets, so be sure to watch for it.
Btw, also watching QQQQ around the $44 level, which was support last week before getting broken. The bounce of the past 3 days has also occurred on lighter and lighter volume, which is yet another cause for caution on the long side.
If you guys are watching anything, feel free to share it!