My opinion remains neutral.
Empirically if the market has kept reaching new highs, flash mini crashes may happen from time to time. It is caused by the first bunch of buyers who already made profits trying to reduce exposure.
Traders who miss the whole rally will jump in to squeeze the last drop of juice, and yes, it'll push the market up again, in this case we could see more selling pressure and follow-up with more volatility for the rest of the month.
It's not bear party yet, but swing traders are going to like it for sure. We expect to see increasing volume in stocks / futures / commodities - but after a extended period of volatility, the market has to choose a direction - whether going up or down - we will see how the Fed and Central banks react soon.
Empirically if the market has kept reaching new highs, flash mini crashes may happen from time to time. It is caused by the first bunch of buyers who already made profits trying to reduce exposure.
Traders who miss the whole rally will jump in to squeeze the last drop of juice, and yes, it'll push the market up again, in this case we could see more selling pressure and follow-up with more volatility for the rest of the month.
It's not bear party yet, but swing traders are going to like it for sure. We expect to see increasing volume in stocks / futures / commodities - but after a extended period of volatility, the market has to choose a direction - whether going up or down - we will see how the Fed and Central banks react soon.
21MA seems to be holding steady that pushes price up. Some said the sudden drop is due to a fat WallStreet finger touching the sell button. But we have seen this too many time since the last panic in the end of year 2015.
Yep, we expect high probability those with Trump target in mind will pull the strings to reach out for 3000 regardlessly.
However in short term, let's look for more downward pressure to retest 21MA and even retrace to the 38.2% fib level - the next support.