The market gave a valiant effort on trying to recover from its session loss but fell short at the end. The breadth showed improvement as the buying starts to accelerate and squeezing out some of shorts. The rotation from the A/D line once again gave the clue to be on the lookout for a reversal. The NDX was positive for a brief period with a slight positive breadth. But at the end, the momentum just wasn't there to carry it through with a positive close. Remarkably, the RUT closed with a small gain of +4.45 points.
During the trading session, extremity in the U/DVOL, A/D and new high-new low occurred. This casts doubt on any sustainable rise for the market. Any rally should be viewed as oversold or dead cat bounce until a confirmed low has been made.
