We have definitely found some profit takers. The sellers came out right after the gap up opening. However, they did not do too much damage. The dip buyers showed up to hold the market up the rest of the day. Breadth was -52%. New highs dipped down to 261. New lows picked up to 63.
The futures dipped below the upper channel line again, but found support.
The green count continues to show considerable strength.
There was an overhang of supply evident in the morning, but there was clearly an underlying bid in the afternoon. The transports and semiconductor sectors have been relatively weak the last couple of days. Nothing to worry about yet, but those are economically sensitive sectors so continued weakness might eventually be a problem. Even at these elevated levels there has been enough dip buyers to absorb the profit taking. It might take a news event to change that.
Bob
No comments:
Post a Comment