We had some impressive selling today for such a light volume day. Practically all of the major indices were down 2% on the day and decliners swamped advancers by more than 3-to-1. So in just one session the market has erased most of last week’s bounce off of support.
It’ll be a bad post-vacation surprise for the bulls if the small caps break their 200-day moving average. For a while it seemed like the small caps would pull the rest of the market up but that theory’s not looking so good right now…
No changes
| Trend | Nasdaq | S&P 500 | Russell 2000 |
|---|---|---|---|
| Long-Term | Down(-) | Down | Lat(-) |
| Intermediate | Up | Lat | Up |
| Short-term | Down(-) | Down(-) | Down |
(+) Indicates an upward reclassification today
(-) Indicates a downward reclassification today
Lat Indicates a Lateral trend
*** I’m simply using the indices’ relations to their 200, 50 and 10-day moving averages to tell me the long, intermediate and short-term trends, respectively.
