Friday, August 07, 2009

Morning Briefing for August 7th: Retreating Into the Range


Please take a look at my post on the narrowing trading range from several days ago. We're seeing that scenario playing out in recent trading, as stocks have retreated from their highs and are back into multiday trading ranges. All of this looks like an extended topping action from my perspective. That doesn't mean we can't get higher prices still, but I suspect any such highs will be accompanied by growing divergences among sectors, indexes, and indicators.
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