Tuesday, June 7, 2011
Stocks Remain in Downtrend
Stocks continue to trade horribly and so the downtrend remains well intact. The bulls were at it again today, trying to put a floor in this market and surge the market higher. However the rally stalled late in the morning and flip flopped around until eventually collapsing into the close. The buying power just isn't there, and yet there is no panic despite the constant selling pressure the past few weeks. Bottom lin: expect the market to continue lower for at least the short term as it keeps the trend of lower lows and lower highs intact.
The euro is still looking farely strong although starting to show signs of possible weakness. But right now they're only "possible signs" of weakness, nothing convincing. Momentum has started to diverge and the euro is having a hard time sustain its recent strength on the surges higher. Once I get a reversal bar or impulsive decline, I'd be slamming the short side on this.
PLEASE NOTE: THIS IS JUST AN ANALYSIS BLOG AND IN NO WAY GUARANTEES OR IMPLIES ANY PROFIT OR GAIN. THE DATA HERE IS MERELY AN EXPRESSED OPINION. TRADE AT YOUR OWN RISK.