Narrow range session in most markets

d0813.gifToday was a more normal August trading session. The session today in the stock indexes was a bit choppy, but the ranges were very tight. You can see how small today’s bar was on the chart, compared to what the ranges have been over the last couple of weeks. I only put up the QQQQ (Nasdaq 100) today, as there isn’t much to show on any of the other charts. Regarding the Qs, even with the rebound from the test of the lows, and the small upmove today, the fact that prices are accepting the lower price levels under the regression channel is not an encouraging sign. Momentum is clearly down. the short-term trend by any measure, including price structure, is clearly down. The longer term trend channel is at risk of rolling over if prices stay under for much longer. I look to short rallies as long as prices stay below the channel. If prices can hold above the spike low of last Friday there is a chance of a divergence to the buy side. If this occurs and prices can get back over the channel there still might be some hope of keeping the uptrend alive. It seems on life support now. There was very little movement in gold.
Regarding this blog, I’ve been getting increased traffic as the blog is now getting in some of the search engines, and have aquired some links from articles being published on various sites. As a result I’ve been getting many dozens of emails with comments and questions. I would like to have these comments posted on the blog as it might engage other traders in the conversation. I turned off the requirement to join the site to post a comment. The only requirement now is to put in a name (real or screen name) and a valid email address. The email address will NOT show on the blog. It is only to discourage spammers. The email will not be used or sold or forwarded to anyone. In fact it will be deleted unless it is spam, in which case it will go into the spam folder. For now, to eliminate spam, the first comment someone makes will be held until I make sure it isn’t spam, after that posts will appear without being held. I’ve enabled comments on most of the pages on articles and indicators, as well as the daily comment. So please post interesting comments to get some discussion and debate going.

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