(Reminder, this will be the last recap of the week as I will be heading out of town tomorrow.)
Massive volume selling throughout the day pushed stocks down even as the Senate passed the debt ceiling bill. The S&P 500‘s close puts the 2011 year in the red overall.
Looking ahead, the market is due for a bounce but has not shown any distinct signs of bottoming. An exhaustion gap to the downside tomorrow or a late afternoon rally could give bulls a few days rest from the sell pressure. Alternatively, perhaps we will find some relief support at the March 2011 lows.
All in all, cash continues to be the best place for the majority of investors. Stay frosty out there and I will see you next Monday!
| Trend | Nasdaq | S&P 500 | Russell 2000 |
|---|---|---|---|
| Long-Term | (-) Down | (-) Down | Down |
| Intermediate | Down | Down | Down |
| 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.
