Friday, March 2, 2012

Small Caps Finally Break Lower, Other Indices Still Rangebound

Early on, Nasdaq was leading/outperforming the other major indices. But that only lasted for about an hour. Then everything started to slide down. The market started to recover shortly after lunch. It was the Dow who lead the bounce, it even made a new intraday high. Small caps were largely underperforming, by more than 1%. Basically, today the money was flowing into more 'safer' assets, the big caps.

5m-chart SPY:



Daily charts DIA, SPY, QQQ and IWM:



Metals, euro, oil: they all behaved badly, and were considerably lower than indices at the open. Yesterday's rumors about oil were fake and oil took a big dive, down +2.5% intraday. Silver also lost over 2%, gold and copper were red too, but less than 1%.
The euro had another bad day, making it 3 in a row. It's now battling the 1.32-level.


Articles for tonight:
Buying Fatigue
A Message from the Dow Transports
I Love Being Wrong
38 Steps to Becoming a Successful Trader

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