In Collapse Mode
In Monday's column, I explained that I was adding to my bullish positions in the S&P 500 at Rydex with the index at the 1314 level. I also cited gaps from that morning in the Emini (S&P) and S&P 500, which I showed on the charts at 1326.75 in the futures and 1335 in the cash. Please don't give me a hard time for not writing about this level Wednesday. I figured that anybody that was interested could see that gap getting tagged. So here we are, with the market in collapse mode.
Did you do some selling yesterday when the Dow Jones Industrial Average narrowly filled its gap from Monday and the Russell 2000 narrowly filled its gap, and the S&P Futures (Emini) filled its gap, but the S&P 500 narrowly failed to fill its equivalent gap at 1335, thus creating a minor non-confirmation? If you didn't, why not? You know that when overhead gaps are filled, the market tends to stall, right? And this one on Monday was a big gap -- at least in the futures, right? So what's the problem?...432 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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