Last week we saw the market closed on Monday, making for a holiday-shortened week of trading. That certainly didn’t translate into quiet action, as traders made every day count.
Tuesday’s upside tested resistance, but without a breakout. From there, the sellers took control, raising cash more and more aggressively as the week progressed. In the end, steep selloffs made the difference with each of the indexes giving up short-term support zones with ease.
The downside reversal reminded the dip buyers who have been so persistent for 10 months that the market’s still able to move in both directions. Whether they learn their lesson this time or not remains to be seen, but it should bring continued volatility in the weeks ahead – and that’s a good thing for traders like you and me.
As we head into a brand new week of trading, let’s examine some important levels in the indexes to keep an eye on in the days ahead. That will have the greatest influence on how individual stocks are going to move, so it’s where the trading week begins.
This clip was also posted over on the Trading Videos  site (as always), and perhaps you’ve seen it there – but in case you didn’t, I wanted to put it here on the blog for you.
Let me highly suggest clicking the “HD” on the video player and then going full-screen for best quality.
Thanks for stopping by and I’ll see you here soon with more.
Until then… Trade Like a Bandit!
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