While still up for the day, the intraday action has been poor. From a high of S&P 1145, the index is now down to the 1125s, delivering a loss of 20 S&P points from the peak. That translates to a loss of 1.7%. It remains bear market action and while there are the occasional neck snapping rallies it is ugly and capital preservation is job #1, not chasing ethereal rallies.
At minimum it seems we need to break through some lows to get the 'bottom callers' to panic (again) as we saw happen a few weeks ago.
Bank of America (BAC) continues to speak to weakness, and has been leading the market down most of the morning.
Twiddling fingers remains the best course of action for now. It's not exciting and you feel foolish the days the market surges in dead cat fashion, but it's the right thing to do until the character of the market changes.
Beating the dead horse from last week, 1120ish on the S&P 500 is support #1 (closing lows from a few weeks back) and below that is 1100, the intraday low on Fed day two weeks ago. Waiting...
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