Don't think it's a panic slide/reversal day until it reverses. So far (as of 1:45 EST), this is just a HEAVY DISTRIBUTION day. 3345 (4-24 minor low) looks like the next target down.
Downdrafts have, to this point, have been for the most part on low volume, but on rising volume compared to a rally so limp it should have had a walker. Very beary. Classical technical analysis does not require that downturns show rising volume ("stocks can fall of their own weight"), though it's considered a confirmation.
3400 seemed to be a resting place for no better technical reason than that it's a round number.
Technician's won't really be "happy" with the possible "w"-bottom unless the second "v" at least re-tests the prior low (3227), "preferably" exceeds it. Most bullish in some respects would be an (eventual) intraday slide (perhaps even to 2900 if it turns out that 3227 was not THE bottom, but rather, as seemed so likely a couple of weeks ago, just a ledge), followed by a massive reversal back up to support levels. Such a move, if confirmed, would perhaps signal that the Nasdaq Bear Market was more likely to last additional weeks rather than months or years.
Not predicting the future, just calling 'em as I see 'em, and always willing to be enlightened. |
