Bounce Watch

Good to be a bear. 


The Sell Bias held here for months has served well. We’re looking for a bounce on the major indexes as they test key support levels.

If we do bounce, we’ll give it a few days to let shorts cover before trying to discern if any real buyers are going to step in to drive price action  up.

Real buyers will show up on the charts as high volume accumulation days. Never mind the headlines, talk is cheap. It’s mostly money that moves markets.

Any lack of accumulation increases the odds of a return to the downside. It also means we’re stalking short setups.

No stocks from the screen this week as none qualify.