The Bulls Hold Steady
The bulls were able to hold the early lows and walk slowly back to the highs as a short squeeze kicked in. It is very slow and volume is extremely light, but the market has done well when conditions are downright boring.
If you look back over the last few years you will see that one of the most difficult trades is to fade or short low-volume oversold bounces like we are seeing right now. Normally you would expect these types of bounces to invite selling by bulls stung by the recent pullback, but for some reason, we have a tendency to keep walking higher just when you think the shorts will make a stand. I suspect computer programs seeking to create short squeezes, but the message has been not to fade aggressively....86 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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