Pockets of Solid Action
Tuesday, which was the second day of a rally attempt for the Nasdaq Composite and S&P 500, had its share of positive qualities. For starters, volume on the New York Stock Exchange and the Nasdaq came in higher than it did Monday, giving the rally some credibility. The "risk-on" trade was clearly in effect as several growth names bounced back after recent weakness.
But don't be too quick to say the selling is over, because it's still very early in the rally attempt. Another sign of strength -- whether later this week or beyond -- would be an indication that the market trend may be ready to turn upward again. From here, I'd like to see indices follow through with conviction, with a percentage gain of least 1.5% in higher volume. Follow-through days like these are best seen on the fourth day or later of a rally attempt....535 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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