The market is selling off pretty briskly right now and getting close to support levels. I don't mean to be cynical, but previously when we have gotten close to support we all of the sudden start hearing rumors that Saddam is a goner and the market has rallied. However, they can only play that game so many times.
By the way, I understand that Goldman is a big seller of futures this morning and, yes, Goldman would definitely be considered a major commercial trader.
I noticed that the S&P 500 has heald below it's 50-day moving average most of the day. If it closes below that level, IBD may start warning subscribers to start reducing positions. They pay more attention to the S&P 600 and the Nasdaq, but it should get their attention at the very least.
Re: Nearing support
August 1 2003, 2:19 PM
Marc,
You're not alone in thinking there may be some significance to the break in the 50 DMA. Here is what Rev Shark (RealMoney.com) wrote a few minutes ago...
"The most notable technical development on my screens today is that if the S&P500 stays below the 985 level it will be its first close below its 50 day simple moving average since the bottom in March. You can argue about how significant that may or may not be but it does clearly illustrate the recent slowing of upside momentum. The buying energy just hasn't been out there in the last few weeks."
