It was a bit of a mixed day with the market spending most the morning dropping, but it turned and headed into positive territory during the afternoon. It seems that the declining has abated a bit. This doesn't give any great hope that we've hit a long-term bottom, but it looks like we might see a bit of a rally - at least tomorrow. The reason I say this is that when I look at individual stocks, there are a lot that seem to be oversold in the short-term.
Today the leading industry group was Mortgage Finance, and when that's the top group, it really is nothing to get excited about. That has been the top group on every false rally we've had since the market started dropping two months ago.
To follow up on yesterday's report, you can see from the chart above that our support area basically held today. Even though the market broke below our support line, it was able to rally back and close above it. We'll keep watching this area for support.
Hopefully we'll see an up day tomorrow, but there still isn't anything to get overly excited about. We'll see what happens.
Have a great evening, and a great day tomorrow.
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