some historical precedent for a bounce afterwards such a weak open, nosotros withdraw to run across evidence of buying involvement earlier assuming that such a scenario volition play out. To this point, the distribution of NYSE TICK readings has been quite bearish, alongside multiple readings below -800, only none higher upwardly +600.
Above nosotros run across the bigger moving-picture demo inwards the market, alongside a daily nautical chart of the ES futures. Note that, every bit long every bit nosotros remain below the lows from 8/12, nosotros are accepting value lower, below a multi-day trading range. I'm showing many to a greater extent than NYSE, NASDAQ, too ASE stocks registering 20-day lows than highs, indicating growing weakness inwards the market. We run across sustainable turnarounds mostly when selling dries up, non when it is accelerating. While beingness alarm for a bounce is worthwhile, it makes feel to allow the marketplace demo its forcefulness showtime too non endeavour the proverbial catching of falling knives.
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