Low Volume Torture Continues
Filed Under Market Commentary |
The low volume saga continues on Wall Street. Big Institutional buyers are simply stepping aside from this market. Media headlines are far too bearish and most likely keeping the big money on the sidelines. As I noted yesterday Main St. is extremely bearish, unbelievable how bearish it is out there. Everyone I talk to tells me how bad the recession is and how long its going to last. When Main Streeters become economists its almost a contrarian indicator that we should be bullish. However, you do not just blindly buy stock, but long exposure with tight cut losses is a wise move.
This market is EXTREMELY boring and there is not much analysis other than you should never short a dull market. All downside volume remains very light compared to upside volume. We haven’t seen volume over its 50dma since mid-March. Just not the time to be extra bullish or bearish. Keep cash on hand to get into high quality growth stocks, they will move the fastest if we head to the upside with volume!
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