The market put in a low volume rally today. If volume had been higher, it would have been considered a follow through day using IBD’s rules. In fact, the NASDAQ came very close to confirming a rally, but not close enough.The NASDAQ and S&P 500 both reclaimed their 50-Day MA’s.
Without volume as confirmation, this could just be a bounce before moving lower. There is significant technical damage on a lot of charts. However, some charts have been holding up.
I had some other things going on today and wasn’t able to watch the market for a good part of the day. Too bad for me, because there were some nice moves in stocks I posted here this week.
I haven’t added anything to the official watchlist because I have been pretty cautious, but these would have made some great trades. My PWRD short is dead, that chart is starting to look bullish again.
The unemployment numbers due out Friday before the opening bell should fuel the market. No matter what the numbers are, it will depend on who the market interprets them. If the market responds well, I will be watching these stocks for trading opportunties.
Good luck and good trading!
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