Brett's Stock Market Pulse Tuesday, May 24, 2011 (Still No Gap Fill - Investor Fear Ready To Expand?)
brettsstockmarketpulse's Blog
1 Follower
Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.
Today was an up and down session for stocks. By the close stocks gave up early gains and closed down. The losses were small for the DJIA (DIA) and S&P 500 (SPY) and both of them held above and never tested their lows from yesterday. The selling on the Nasdaq Composite (QQQQ) was stronger as it closed below yesterday's low. However, the lows for today on the S&P 500 and Nasdaq Composite were short of the April gap fill levels of 1,310 and 2,740. It looks like these levels are still in play until the market tells us differently. The Volatility Index (VIX) looks interesting here. If the VIX is successful at testing its 21, 50, and 200 day moving averages (which it is doing now) then going forward we will probably see a more elevated level of fear in the market which means we may have not seen the lows for stocks yet.
No positions in securities mentioned.
No positions in securities mentioned.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.