Tuesday Outlook: Markets in Check

The Houston power outage, where our hosting service resides, caused our server to be down late Saturday and all day and night Sunday. It was just one of those things and that’s enough about housekeeping.

Yesterday the old financial sector bugaboo resurfaced as many companies within the sector were downgraded by “Johnny on the spot” S&P and one wonders, has the horse already left the barn? So the financial sector bottom pickers were silenced again. This type of action is like walking through a minefield.

Volume remains modest while breadth was quite negative as you would expect.

I’ll leave these sectors with one DeMark chart which indicates trend exhaustion. When you see the “9” on weekly charts markets may move sideways for awhile or suffer a correction. If not, then the underlying trends are very strong and this should be ignored. [Not too brilliant to say they’ll move sideways, down or go up now is it?] But, DeMark is flashing a warning on over a dozen markets. The QQQQ is below and was featured two weeks ago in this manner. [This is the best image I can produce from this view.]



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