Dow makes new low, but not Nasdaq
Dow makes a new low today and I caught a nice short on the early rally. But the Nasdaq is not declining in synch – and this is what keeps me from being full-on bearish the Dow (yet). I still believe the nonsense around the US shut-down is just an excuse for bulls to take profits, and eventually, the Dow will work higher.
The US housing stats out today was weak – and that has sent T-Bonds up into new high ground. I guess there is even less incentive for the Fed to taper just yet.
After yesterday’s big down day, today is just the opposite:
But with the Fibonacci 62% retrace just hit moments ago, could this be a great short set-up?
Lots of overhead resistance up ahead, too – and the rally has an A-B-C feel to it.