Today S&P almost touched 1374 resistance again but didn't able to cross that resistance level. In last two weeks S&P has made around 2.5% move. I am considering 1342 and 1377 as a channel until stock breaks out of 1377 and close above it, I don't feel comfortable taking any high risk trade.
It has been little frustrating situation since last couple of weeks. Shorts and long both are not working well....
Market breadth is building up positively but we still have strong weakness behind us. Again today we had higher selling in the market.
Overbought-oversold ratio is positive but still not very strong movement. Stock seem to have easy downwards movement than upwards movement. In another word. stocks tends to make major down move with light volume but needs big volume to make move up...... this shows that we are right against the major supply zones and many stocks are hitting major resistance above them
This is a confusing situation and I am not ready to take major risk in the market.....
We need to be ready with both long and short setups .......to follow the market....
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