iBankCoin
Joined Dec 4, 2012
319 Blog Posts

The Key To Today …Is Not To Panic

The Media is all excited as the S&P 500 was down a bit more than -1%. Now it is down -0.94%.  It is early in the trading day and I would like to make the following points.

1.On 7/5 the S&P lost -0.68%. On 8/2 lost -0.64%.  On 8/16 lost -0.55%.  On 8/24 lost -0.52%.

2.On each of those days the advance/decline line finished at -2723, -3,042, -2,220 ans -2,145.

3.So far today the advance/decline is at -3,952.

Therefore, today is pretty nasty so far…but I repeat it is early and we need to see if the buy the dip buyer emerges in the afternoon. Also, key a bottom that materializes by 10:30/11:00.

On days like this some perspective is needed. My oversold indicator is at 27 and usually this marks a low when it rises back above 30. The last time we got below this level was on the Brexit puke and that was a great buying opportunity. I will alert all here when that happens.

Maybe a test of 2150 has to happen before a bottom is in. Maybe not. Currently, we are 9 points away from that.

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One comment

  1. probucks

    Are you suggesting we buy the dip @Bullet86?

    thanks for the solid market color & calendar updates

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