Harry; when you have a moment, I was wondering what you thought of Briefing's comments on market technicals this pm. I make it that the SPX just touched its 200 and turned (for the moment).
It hasn't been a very good week for growth stocks!
Briefings comments were..
12:51 ET ******
Market Technicals While the media has been busy obsessing over the interest rate outlook, market internals have quietly deteriorated to the point of serious concern... Take for example today's breakdown in the Dow Jones Utilities Average (DJUA).... Off nearly 3 points today, the rate sensitive index broke through pivotal support at 310.00 and is currently sitting at 3.08.15... Should also note that the index has now fallen below its 200-day moving average for the first time since March... DJUA often leads the DJIA... As for the other major Dow index, the Dow Jones Transportation Average (DJTA), it's been nothing but bleak for weeks - and today is no exception... Slammed by FDX's weaker than expected earnings report, the DJTA is off 89.36 at 2998.24, its lowest level since December 98... Should also note that the 50-day moving average is now trending lower and has crossed below the 200-day moving average, thereby confirming the bearish trend... Dow Theorists can't find this development very comforting... For those of you inclined to dismiss the action in the DJUA and DJTA as secondary, note that the S&P 500 just took out its 200-day moving average this morning... Meanwhile, the weekly advance/decline line set another new low, the number of new 52-wk lows to 52-wk highs continues to climb and volume remains lousy... Finally, the financial sector continues to underperform, and for those of you familiar with the market adage, "as goes the financials, so goes the market" that isn't good news. -- RW
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