Yesterday's rally off the Fed minutes release was nice, but it is not a signal to chase the market. Fed rallies usually reverse the next day. Likewise, the market is still in a consolidation range and it will be another week before the QQQQ runs into its long term uptrend. It would be healthier if the market would continue to trade sideways here, so we hope that an unsustainable rally higher from yesterday's gains does not follow.
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Meanwhile, the industrials have established an excellent base of institutional volume support. We haven't read about this quiet accumulation anywhere so there is a great chance that we are getting in on the ground floor of what is turning out to be a very nice sector move.
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