A Market Without Leadership
I was hoping oil stocks would continue with a leadership role, since the sector was about the last area showing strength. That idea was thrown out for now after DIG moved back within the wedge, and tanked into the close.
The Nasdaq blew right through the long-term trendline from the last October high. The bulls have left the building. Have a Happy 4th.
July 3rd, 2008 at 3:17 am
Yes,agree with you since oil hit record price. However, I do find wedge pattern a bit difficult to trade and got caught out a few times on false breakout. So now I tend to go into the trade at slightly higher than the peak of the wedge with a buy stop order.
What a day for all indexes. Will it go any lower? Everybody is talking about bear market now. Time for a little bounce, may be after the weekend as market normally do the opposite of what everybody say? Also Fibonaaci retracements number 13 days down from 16th….Need to wait and see.
July 3rd, 2008 at 6:00 am
Hi Wayne,
That’s a good idea regarding wedges. Wait for some confirmation of the break.
Yes, I’d think we’ll be due for a relief rally soon. I just hope it isn’t the kind where the futures start the day much higher, and unless you are already in, you miss the gap higher.