Wednesday’s high volume u-turn off lows has the makings of a key pivot on the charts.
But we’ll give the market some time to let us know if it’s the start of a new bull leg, a brief intermission from selling or something in between.
Beginning Monday we’ll be on the look for a Follow Through day, where a 2% move on heavy volume with one of the major indexes would give us a hint institutional grade buyers are active. Without institutional buyers the Bull is suspect.
We wait a few days to give shorts time to cover.