The minor rebound on Wednesday was less than exciting with plenty of intraday volatility. The bulls lacked conviction and we are still in danger of a continued drop.
There was no conviction to the market on Wednesday and that goes equally to both buyers and sellers. Volume was decent at 7.6 billion shares and weighted towards advancing issues but the sellers were still there.
Neither side could get traction and the markets traded in a narrow range and failed to give a clue as to direction. Normally after a big decline there is a better effort to produce a rebound. Today's effort was lackluster. That suggests buyers are expecting a bigger decline and are not committing to bargain hunting. That is worrisome because their expectations of a continuing decline can become self fulfilling if they just sit back and wait for it.
I am not adding any new positions until we have an adequate support test and a rebound appears.
Current Position Changes
New Long Term Recommendations
New Aggressive Recommendations