Wednesday, January 21, 2009

Today's Markets

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One heck of a rally today. Once prices got near yesterday's lows the rally started. After lunch the whole market went long aggressively bidding the market higher. Note that prices moved higher until the close and ended with strong volume. Also note prices regained a fair amount of ground lost yesterday.

Notice that prices have crossed over a downward sloping trend line that started over a week ago.

But on the daily chart, we're still in bearish mode -- prices are below all the SMAs, all the SMAs are moving lower and the shorter SMAs are moving lower.