S&P is having two straight days with very strong positive market breadth, with strong closing. Yesterday we saw little push back but today it looks like bull are back in the game. I am really interested to see how S&P behaves around 1392 range. Which was previous support and broke down couple of days ago. We will see the test of the move tomorrow.
Oversold-overbought ratio is about to turn positive, very strong push in last two days. 5 days of down move was cleared in two days of strong push high. This shows me that, we are very high strong buying in this market, every time market goes down, we get dip buyers to push the price up. This shows that we are still having people believing in this market.
Again, market doesn't go up every single day but it seems like we are strong buyers in this market which will be tested tomorrow.
My long term indicator is still in negative territory and I am not planning to invest in high risk position until that indicator turns back to green.
Long term futures is not certain but short term we have a quick reversal and we are right against the resistance line. I don't believe, we will have smooth movement like today but I expect that in next couple of days market will decide its direction....
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