Monday, August 4, 2008
The markets opened to the downside on some pretty heavy down volume. They continued to move lower until a little before 11 AM when they popped on a heavy volume spile. They ran into upward resistance at the 50 minute SMA and then moved sideways eventually crossing the 50 minute SMA. Then they moved lower until about 1 PM. At this point there was another volume spike with upward action, but prices couldn't hold again. Prices sold-off until the end of the day, with two solid downward moves on volume spikes in the last 10 minutes.
Today's action was bearish, as prices could not hold on to any gains they made. Also note the end of the day sell-off, indicating traders were not willing to hold positions overnight.