The market is still in full bull mode, but the trading got really choppy today. Even after the alleged trading error in the morning, the market couldn’t manage to ramp even after the white hot August Philadelphia Fed index was released at noon. Yet the NASDAQ managed to make a new 52-week closing high and it took out the June intraday high. Briefing.com has been saying that momentum players would be ‘gunning for shorts’ in this dull late August market and that seems to be what’s going on. The NASDAQ keeps lurching higher while the S&P and Dow have been basically flat for the last 3 days. It’ll be interesting to see what happens when that strategy stops working. Bottom line is that we’re still in overbought territory and a good number of shooting stars, doji and spinning tops were created today.
