Still Testing
4th March 2008
The stock market headed south right out of the gate today but managed a strong comeback in the last hour. In the end, the Nasdaq managed the keep its head slightly above water, while the DJIA and the S&P 500 did not quite make it back to yesterday’s close. This test of January’s closing lows resulted in a Hammer candlestick. In an oversold market this often means its time for the market to take a little bounce. We will need confirmation tomorrow to see if the bulls have managed to take control of the markets. A failure here and we could be in for some heavy selling.
- JD