Can’t get outta the woods
The Nasdaq and S&P could not really get out of the woods (see warning here) and now traders are throwing in the towel a bit.
Yes, the indices are still higher, but the indices are making new lows after moves back above the 200 day MAs in each of the broad indices, failed.
The 200 day MA in the Nasdaq is at 7503. The high reached 7513 and is now trading at 7439 (low 7426).
The 200 day MA in the S&P is at 2766. The high reached 2775 and is now trading at 2754 (low 2748).
The breaks below the 200 day MAs is a serious thing. Until the price can get and stay above those MAs, the longs will have a squirmy feeling in their stomachs that something can still go wrong.