What started off as a strong reversal last Friday quickly ran out of momentum. The major indexes ended at a point that may help define a clear downtrend line from the start of the 8-week pullback. Volume fell off sharply this week.
To be fair, this was leading into the Thanksgiving holiday, and perhaps the institutional traders were just looking forward to time off with the family and watching football – maybe the Patriots/Jets matchup would turn into a good battle to the end.
At this point I'm not expecting the markets to begin another downward thrust resulting in a lower low. A slight pullback/consolidation may be in order. But watch the downtrend line that's now obvious on many of the major indexes and sector ETFs. A strong breakout, or reversal downwards, will set the tone for the next couple of weeks.
Of course, there's much more you need to know and many more stocks you can capitalize upon each and every day. To find out more, Click Here: www.markettamer.com/seasonal-forecaster
By Gregg Harris, MarketTamer Chief Technical Strategist
Copyright (C) 2013 Stock & Options Training LLC
Unless indicated otherwise, at the time of this writing, the author has no positions in any of the above-mentioned securities.
Gregg Harris is the Chief Technical Strategist at MarketTamer.com with extensive experience in the financial sector.
Gregg started out as an Engineer and brings a rigorous thinking to his financial research. Gregg's passion for finance resulted in the creation of a real-time quote system and his work has been featured nationally in publications, such as the Investment Guide magazine.
As an avid researcher, Gregg concentrates on leveraging what institutional and big money players are doing to move the market and create seasonal trend patterns. Using custom research tools, Gregg identifies stocks that are optimal for stock and options traders to exploit these trends and find the tailwinds that can propel stocks to levels that are hidden to the average trader.
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