Wednesday, August 7, 2013
Market Update: Short Term (Trader's) Timeframe...
Today's sell off has brought the major averages into some notable short term support that I believe deserves attention. The top chart above shows the S+P 500 coming into support that is defined by the May 22nd high and the open gap left behind on the breakout from our most recent trading range. The bottom chart shows the Dow coming into an area that provided support on a few occasions. It would appear to me that strong support in the near term, comes in around the 15,400 - 15,350 range.
Also of note, both major averages have now about matched the size of the most recent correction.
Fed chairman Ben Bernanke is scheduled to speak at 2:30pm est. Followed by consumer credit at 3pm est.