Although the markets did hesitate today, the bulls have yet to produce the response that we have seen in the past. We have grown accustomed to seeing bullish responses to bearish action (and vice versa), but today’s move wasn’t very convincing. We have seen two (2) strong moves by the bears over the last three (3) sessions, in which a minor support level was broken, moving us into the lower range of the markets.
All three major indexes have been moving lower, but are giving different trend signals. The Nasdaq appears to be in a bull pullback, as the S&P 500 finds itself on lower support of 2,080. The INDU looks to be the weakest, slipping just below its support level of 17,800.
There are plenty of data points and arguments to justify market action in both directions from this point. So far, the bear side looks to be in control as we reach the midpoint of this week. Continue to take advantage of both directions, along with adding a little sideways to both, as we enter into the last two weeks of June expiration.
Have a great night,
The Maverick Trading Team
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