On the Verge of a Pullback
Light volume indecision has replaced the year-end rally. Let's look first at the chart of the Dow Jones Industrials below. In the past week, nothing has happened. Moreover, the trading ranges have become extremely small, indicating we have encountered very difficult overhead resistance. Notice how much the current action looks like what we were seeing in late July of last year as we again approach those levels.
Also, as in July, MACD is at a high level and about to cross to the minus side. In addition, the Relative Strength Index (RSI), shown at the top, has become overbought and the Absolute Percent Change (APC), at the bottom of the chart, is back to prior levels....327 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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