The 30-minute SPY chart below should illustrate that the sheer price swings of the market have picked up lately. This adds to the notion of short-term indecision, and increasingly violent one at that. However, as we have seen with this afternoon’s bounce, the bears are having trouble gaining downside traction. Witt this in mind, I still think the close will be critical, in that regard.
The main concern here is not overtrading as well as avoiding grand assumptions, such as already thinking a steep price correction is underway. For that to happen, first things first–We’d need to see a close below Monday’s lows and accelerating selling volume at least.
Watch how they finish ’em.