Thursday, September 10, 2009

Midday Briefing for September 10th: Digesting Gains

As you can see from clicking the above chart, we are trading within yesterday's range in the S&P 500 e-mini (ES) futures, with volume tailing off significantly as the day has proceeded. Major asset classes, including the U.S. dollar, oil, and gold, are also trading within ranges; 10-year Treasury rates are down to about 3.41%.

In my basket, 27 stocks are up from the open, 13 down, as buying interest continues to come in during short-term pullbacks. The NYSE TICK has been notably positive all day thus far, reflecting a continued lack of selling pressure. As long as that is the case, pullbacks will continue to remain contained. It would take an influx of selling pressure (negative TICK) and then a weak bounce to trigger a sell signal in my Transition System.