July 24, 2008 Stock Market Recap
By Michael on Jul 24, 2008 in Stock Market
We had a big selloff today but it came on decreasing volume. The indices were short-term overbought so this could be looked at as a well-needed drop just to cool things off a bit.
Although the Nasdaq cleared its trendline yesterday it also made a shooting star-like candlestick. That turned out to be a good warning of sellers reasserting themselves. Now I want to see if the bulls can hold the recent minor low at 2250.
It’s a similar story for the S&P 500, except that it’s much closer to its minor low around 1,250.
The small caps actually broke their 50-day moving average yesterday but also gave a warning with that shooting star. I’m looking for support near 690…
Just one downgrade today…
| Trend | Nasdaq | S&P 500 | Russell 2000 |
|---|---|---|---|
| Long-Term | Down | Down | Down |
| Intermediate | Down | Down | Down |
| Short-term | Up | Lat(-) | Up |
(+) 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.
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4 Comment(s)
By upsidetrader on Jul 26, 2008 | Reply
I took a little QID home for the weekend, just a feeling but I think we could trade lower Monday as I do think the financials have some more air to exhale.
upside
By Declan Fallon on Jul 28, 2008 | Reply
Happy B’Day Mike,
Enjoy the day!
DJF
By BT on Jul 28, 2008 | Reply
How do you pull up the stochastics on Bloomberg charts? every function is use comes up with much lower levels (ie. 50)
By Michael on Jul 28, 2008 | Reply
Thanks Declan.
BT, Sorry, but I’ve never used Bloomberg.