Bounce… But Not Too High

The market is going to bounce from a deeply oversold condition. From a bearish standpoint, we want this bounce to hit heavy resistance around SPY $600.

PRE-OPEN MARKET COMMENTS MONDAY - Last week the market breached the 100-day MA. After five days of heavy selling, it shed 5% of its value. That is a sign of "risk off" and we are seeing signs of economic weakness. Bull markets die hard and the first drop from the high typically has a good bounce. Buyers are still conditioned to buy dips and they will continue doing this until they are discouraged.

Daily Bulletin Continues...