A Walk on the Sell Side
Volume is starting to come in on the sell side of the market. That tells us that the buying pressure underlying the averages is abating. In the last few days, the market has gone nowhere, which has also been the case for the last three weeks. But instead of mildly bullish Arms Index readings, we are seeing mildly bearish ones. It is not enough to produce an oversold situation, but it does somewhat alleviate the extreme overbought condition of recent days.
Is this bullish? I'm afraid not. It is an indication the bears are getting the upper hand, but not a sign they have completed their activity -- nor is it a sign that the bulls have capitulated. It still looks as though more downside is ahead; therefore, I am suggesting holding on to short positions....271 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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