Coolhand's Market Analysis

Originally Posted by coolhand

Seemed like everything was under attack today (stocks, precious metal, crypto). We've seen this before.




The DWCPF joined the S&P under the 50 dma today. Volume was very elevated. If there weren't 2 sides battling this out, I suspect the market would have fallen apart altogether. But even if it isn't falling apart, it's moving lower. The 200 dma is still further below and we may yet test it.



Breadth hit a fresh low since the August peak. It's bearish.

The bears are going to do their best to screw up the market. This is about optics heading into November. I'll leave it at that.

Since NAAIM was largely neutral last Thursday, today's sell-off may have shaken some of those bullish positions. If the bulls can't counter the selling to a large degree and the market continues to lose ground, I anticipate that NAAIM may increase their bearish positions. That's an educated guess since we only get weekly readings.

I am remaining neutral, but with a modestly bearish bias. I am giving the bulls the benefit of the doubt that they will mount a counter attack.