Apparently the trading community had candy corn and pumpkins on the brain because that was one
heck of a slow week. Case in point, the biggest one-day move achieved by the SPX over the past five
sessions was a three-point pullback on Wednesday. Needless to say, it’s been a pretty boring display.
However, despite this super slow action, there are still some interesting things going on here. Most
notably, the Dow came within 13 points of the high it recorded in April this week before settling a bit
below this level. This is an important test of an important high, especially because this is a likely area
for a market high to be established. I know I know, we’ve been saying that for a while now. But keep
in mind that price has stayed in this same area for as long as we’ve been saying it, at least on the Dow
and SPX. The pattern is proving a lot slower than we would have anticipated, but there’s not much we
can do about that. In addition to the test that is taking place on the Dow, we’re seeing the technical
indicators begin to roll over, potentially an indication that momentum is getting ready to shift down.
heck of a slow week. Case in point, the biggest one-day move achieved by the SPX over the past five
sessions was a three-point pullback on Wednesday. Needless to say, it’s been a pretty boring display.
However, despite this super slow action, there are still some interesting things going on here. Most
notably, the Dow came within 13 points of the high it recorded in April this week before settling a bit
below this level. This is an important test of an important high, especially because this is a likely area
for a market high to be established. I know I know, we’ve been saying that for a while now. But keep
in mind that price has stayed in this same area for as long as we’ve been saying it, at least on the Dow
and SPX. The pattern is proving a lot slower than we would have anticipated, but there’s not much we
can do about that. In addition to the test that is taking place on the Dow, we’re seeing the technical
indicators begin to roll over, potentially an indication that momentum is getting ready to shift down.