No Market Bounce Signals Selling

The market was not able to recover from the Fed drop in Dec. This is a sign of profit taking.

PRE-OPEN MARKET COMMENTS WEDNESDAY - Year-end rallies are the norm and when they fail to produce, it's a warning sign. The drop from the last FOMC has not recovered and the market has been spending more and more time below the 50-day MA. In the last 18 months, dips to that level have been gobbled up and the market has jumped off of those levels. Right now we are lingering at that level. It's a sign that buyers are not that interested and that sellers are absorbing any buying. That indicates a shift and I believe we are going to see the market test lower levels.

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