It was nip and tuck for a while as the major indexes plunged right after yesterday’s opening. The subsequent rebound attempt held for a change and buying during the last 30 minute lifted the averages (except the Nasdaq) out of the doldrums.
As discussed on Monday, the S&P; 500 bounced off its 1,040 support level twice; an encouraging sign for many traders. The euro gained helping metals and energy prices to move up as well.
After all the recent selling some kind of rebound was overdue, but it certainly does not guarantee a new bottom is in. To me, it merely means that we have bought some time as the 1,040 level is certain to be tested again.
For right now, however, a domestic sell signal did not materialize as the domestic TTI moved slightly higher and is still positioned above its long term trend line— although by only a very meager +0.46%.