The Market Needs To Bounce

My Swing Trading Approach

I am not looking to make any significant changes to the portfolio today. The market needs to bounce and recapture its footing here.

Indicators

VIX – Small move yesterday considering how weighed down the VIX has been of late. Bounced only 3.1% to 10.49 yesterday.

T2108 (% of stocks trading below their 40-day moving average): 10% decline yesterday, one of its biggest pullbacks in the last two months. Only 51% of stocks are trading above their 40-day moving average now.

Moving averages (SPX): Broke the 5-day MA, 10-day moving average may be tested today.

Industries to Watch Today

Technology fared the best yesterday but the overall chart shows some concerns, while Healthcare and Basic Materials took a major beating. Utilities still looks like it wants to rollover. Financials may be showing signs of a bigger pullback here.

My Market Sentiment

Hard sell-off yesterday (relatively speaking). Some support at the 10-day moving average.

S&P 500 Technical Analysis