The Relative Strength of the Stock Market Weakening- Trend Following
Good news …bad news….
Good News….There was a strong end of day rally in the stock market from a trend following perspective..
Relative Strength of the Stock Market Weakening
The Stock Market closed in the upper half of it’s trading range however this is way below the line of demarcation…50 day moving averages. More so we are witnessing a pattern of lower highs and lower lows. The question is when there will be, or if there is going to be a bounce. After a sell off the quality of the bounce is critical. So far the market has not been able to really bounce at all. This usually means prices are going lower. I personally do not see any reason to be long at the moment.