Published at 9:35 AM CT, 1/19/2012
The pit did very little after buying it with two hands since the start of the week. Much of the move happened overnight, again. The NASDAQ took out last year’s high. At first it came up short and then finally got through it and proceeded to break. This is a similar set up as we saw on Monday and the market proceeded to break. The main difference is that the Transports are up this time. Everyone was looking at those NASDAQ highs and the S&P 500 did not follow. The financials gapped up and are drifting lower.
The market did not like the Philly Fed number but the market has recovered it. We still have a gap below. Once again really hard to get a good feel on the market but if the NASDAQ fails to pull the S&P500 above 1311 will be looking to test the gap or even lower.
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