Tuesday, June 06, 2006
Daily Market Commentary
Updated Monday, 6/5 for Tuesday's market
Late-Session Decline
Read More...
Updated Monday, 6/5 for Tuesday's market
| Key DOW Levels for 6/6 | |
| UP | Above 11,300 |
| DN | Below 11,000 |
Late-Session Decline
- The Dow capitulates back toward long-term support level.
- The S&P and NASDAQ both broke below the lower boundaries of upper sloping consolidation patterns. As these violations have clear bearish implication, we will look for continued weakness in the near-term.
Summary
For Tuesday’s session, we will focus on the manner in which the Dow interacts with the 11,040 support level. A solid break above or below this key support level will likely provided a early indication of intraday bias. However, considering the magnitude of today’ decline, a period of upward retracement and/or consolidation would not be unexpected.
- The S&P and NASDAQ both broke below the lower boundaries of upper sloping consolidation patterns. As these violations have clear bearish implication, we will look for continued weakness in the near-term.
Summary
For Tuesday’s session, we will focus on the manner in which the Dow interacts with the 11,040 support level. A solid break above or below this key support level will likely provided a early indication of intraday bias. However, considering the magnitude of today’ decline, a period of upward retracement and/or consolidation would not be unexpected.
