Thursday, May 18, 2006
Daily Market Commentary
Updated Wednesday, 5/17 for Thursday's market
Huge Sell-Off
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Updated Wednesday, 5/17 for Thursday's market
| Key DOW Levels for 5/18 | |
| UP | Above 11,500 |
| DN | Below 11,150 |
Huge Sell-Off
- Dow breaks triangle to downside, drops steadily to the Close.
- NASDAQ and S&P each broke their respective ranges to the downside today, but the tech-heavy index lagged the market in terms of the sell-off. Each index continues to push to new lows, but we may see another consolidation form ahead of the next move.
Summary
The Dow got a massive downside break from the large triangle consolidation at 11,400 today, which sent the index tumbling. After today's huge decline, we can expect the index to either hold at the lows or reverse in a reaction rally. Look for this tomorrow, as the index builds out for the next key move.
- NASDAQ and S&P each broke their respective ranges to the downside today, but the tech-heavy index lagged the market in terms of the sell-off. Each index continues to push to new lows, but we may see another consolidation form ahead of the next move.
Summary
The Dow got a massive downside break from the large triangle consolidation at 11,400 today, which sent the index tumbling. After today's huge decline, we can expect the index to either hold at the lows or reverse in a reaction rally. Look for this tomorrow, as the index builds out for the next key move.
