Monday, May 18, 2009

Technical Picture - Oversold Bounce


As outlined yesterday, we expected support at 875 to hold on the first test, following last week's pullback on declining volume. Today's broad based bounce was on light volume, so now we are watching to see if the market will test recent highs with a new high or a lower high. Today's advance was lead by banks/financials, oil, retail and industrial materials. Precious metals were out of favor. Oil combined with weak $USD could test resistance tomorrow. I'm watching Canadain oil stocks CNQ, ECA, TLM, SU...

2 comments:

Joao Henrique said...

Hey Jamie,

Glad yore back... hope you had a nice vacation.

JH.

Jamie said...

Thanks Joao,

Had a very nice vacation, but started itching to get back in the last week or so.