We started off with a minor gap up but it fizzled out and we traded flat the rest of the day before closing weak again on light volume.  We are still oversold, but action like today’s helps to remove some of the oversold pressure.  The S&P 500 continue to remain below its 50-day moving average and caution is warranted.  Key sectors like banks, chips and retail are weak.

Related posts:

  1. 04.19.10 – Support Above the 20-Day Moving Average
  2. 06.22.10 – Stalled at the 200-Day Moving Average
  3. 09.22.10 – Testing the Five Day Moving Average
  4. 05.18.11 – Testing the (Falling) 5-Day Moving Average
  5. 01.19.11 – Walking the Five-Day Moving Average