A Surfeit of Churning
Well, at least the market wasn't down another 1% Wednesday. In fact, the pattern changed to feature some bounces along with the intraday declines.
The good news is that breadth was quite positive for such a down day. The bad news is that, even with that positive breadth, the McClellan Summation Index will need yet another positive day for it to turn upward again. It stopped rising a week ago, when the S&P 500 was at 1501, and I think the key takeaway here is that it hasn't been able to get going again, even despite positive breadth in four out of the following five trading days. It won't take much of a decline to turn send this indicator south, either....378 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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