The SPYs, notice we're still "falling down a flight of stairs". I drew arrows from reversal points to prices where the reversal occurred to show that reversals occurred around round numbers. This probably means program trading was kicking at at the reversal levels.
The QQQQs have been in a solid downward sloping channel until today's Amback news. Then it broke through resistance.
As with the SPYs, I drew arrows from reversal points to prices to show where the turnarounds occurred. Notice the reversals occurred at clear price levels once again indicating program trading was kicking in around those levels.
The point of showing where buying is occurring is to indicate that it's not investor excitement about the market that is saving the market from falling; it's computers.
No comments:
Post a Comment