The move was much stronger than I would have wanted. Yet the volume was not particularly impressive. We did break over and close above the 200 day MA for the first time in weeks. Yet we are hitting the underside of a major trendline. The move was up all day long. Yet it was never clearly impulsive.
There are a lot of contractions right now. It could be a major bull trap or a major bear trap. I think that is a realistic assessment and I think it stinks. I hate the risk/reward here right now for new positions based on the ambiguous nature of where this wave landed and what it said (or failed to say). I want to see a breakdown confirmation first before I add to shorts, and I want to see how this move handles 1130 before I think about covering.
In the meantime, I am just sitting tight with my shorts.
