Another seller dominated day gives the Naz its second day of Distribution in a row, while the Dow and S&P drift.
We’re not shifting from our Buy bias just yet. In fact, we’d like to see a gentle broad market pullback give us some better opportunities to scoop up select Growth Stocks that broke out recently.
Any further Distribution, where volume on a down day out numbers the previous day, will make us cautious.
Another concern is the semiconductors (SMH), which have yet to conquer its key 200-day moving average to the upside, and drags heavily on the Bull for its historical tendency to trade closely with the market’s longer term direction.