Declan Fallon | TalkMarkets | Page 57
Market Commentary
Declan Fallon runs a market commentary blog at Markets.fallondpicks.com, and is a contributor to TalkMarkets and Seeking Alpha. He previously contributed to the Motley Fool. Declan Fallon is also a UI/UX Dashboard Designer for First ...more

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S&P Drops Below 50-day MA
The S&P posted a clear break of the 50-day MA on modest volume and will next be heading to test support of the declining channel - which at the moment looks more like a 'bull flag'.
Russell 2000 At 50-Day MA As Indices Mount Morning Recovery
It was a good day for indices as early weakness gave way to sustained buying into the close. There was early morning weakness to set the tone but it didn't last. The one index to rebuff this was the Russell 2000.
Buyers Tried To Revive Russell 2000
The S&P posted a third successive doji with the 50-day MA holding as support. Volume has steadily dropped, which runs the risk of seeing prices head lower in the absence of buyers (not necessarily active selling).
Quiet Friday
Very little to say about Friday's action; tight intraday spread on low volume was not going to send the world alight. The only index to post a modest gain was the Semiconductor Index.
Markets Take Late Hit
The sell-off was attributed to an indecisive Federal Reserve, but profit taking can occur at any time when an extended series of small gains is undone by one big day of selling. Volume rose in confirmed distribution.
Readying For The Breakout
Today's action was more subtle with indices regaining some of the Monday's lost ground, yet not enough to challenge prior highs.
Small Caps Suffer Profit Taking
It was inevitable after a series of gains that sellers were going to make an appearance and today was the day that happened. The Russell 2000 took the brunt of the selling as it shed over 1% on a reversal off resistance.
Markets Treading Water
Friday was a non-event for indices as resistance remained a factor. The intraday range was tight as volume rose in suggested churning. The S&P remained at resistance as relative performance deteriorated from the negative switch earlier in the week.
Small Caps Advance
The last few days have seen small gains with no down days, but some markets haven't yet clawed back the big down day from last Tuesday. When selling emerges it will be interesting to see if these small gains can hold.
Rally Slows But Not Dead
The Swing Low continues to play out with small gains in lead markets. There is still resistance in play, but this supply is been consumed by the day. Trading volume was light too.
Rallies Come Through
The S&P is at the resistance of the prior swing low and the 20-day MA, but today's action is looking good for an upside break tomorrow?
Mixed Bag Of Tricks; But Good Chance Of Market Swing Lows
The damage was done premarket and value buyers were quick to take advantage. Volume wasn't great and the technical picture didn't really improve, but action like today's can prove to be a good starting point for a swing low.
Semiconductor Index Again At Resistance
All indices were again testing resistance with small gains, but not enough to challenge a break of supply. In terms of worries, the relationship between Transports and the DJIA is again under pressure; with oil prices weakening.
Indecision Strikes
It was no real surprise to see indices slow down in their recovery. Across the board doji mark a balance between buyers and sellers. The one index which bucked the trend a little was the Russell 2000.
Semiconductors Recover At 20-Day MA
Yesterday's selling didn't follow through with additional losses, instead, indices dug in at lows and managed to recover some of yesterday's selloff. The best recovery came from the Semiconductor Index.
Seniconductor Shorts Gifted Their Positions
For those who took advantage of the resistance test in the Semiconductor Index; there was a picture perfect test of the hashed blue line resistance and secondary break of former rising channel support.
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