As mentioned yesterday, it’s the day after the Fed’s announcement that usually gives a better indication of the market’s next move. Thursday’s reversal from lows on heavy volume tells us UP is going the be Read More …

Don’t fight the tape! We have to remain Bears, as Wednesday’s distribution is just one more piece of evidence of its dominance. The Fed’s 50 basis point rate cut comes nine days after an emergency Read More …

If you look really close you can see Tuesday’s buying volume came in just a tick above Monday’s. This is not the type of buying that qualifies as a Follow Through Day (FTD). What we Read More …

Tuesday’s panic selling felt like the capitulation we’ve been looking for. Wednesday’s sharp turnaround from new lows gives us indication the market is ready to rally. If we consider today a potential low, we want Read More …

A massive global sell-off, but it’s a holiday in the U.S. What does that mean going into Tuesday? With the S&P 500 losing about 60 points on the futures index, we’ll see a sizable gap Read More …

Not much to say, it’s still a bear and we’re only happy because we saw the warning signs long ago. Tuesday marked the fourth day of distribution in two weeks for the S&P 500.

Two days of rallying, but it’s likely to be mostly short covering. We’re going to consider Wednesday’s accumulation day a potential low in the market. We want to see a Follow Through Day of heaving Read More …

Chalk in another day of distribution, it’s still a bear!

It’s a Bear. Heavy selling under the major moving averages on the major indexes is clear as a bell. Everything but Energy is on the decline. For Dow Theorists, a breakdown of the Transportation Index Read More …

It’s a clear day for the Bears for the first day of trading in 2008. Heavy distribution under the 50-day average has our bias shifting back to bearish.