Traders are staring at a sharp ‘buy the dip’ event here as the morning progresses for the stock market. The S&P 500 and Nasdaq are sharply higher again (as are most major stock market indexes).
This type of price action (sharp bounce) is typically seen in bearish markets.
It’s best to not use this as a predictor but rather stay focused on the next resistance zone as a means for trading or watching the character of the market.
It’s worth noting that markets can move much further and faster than traders think.
That said, this type of bounce cannot move forward without holding a higher low, so watch lower price supports.
In today’s video, we look at all the key trading levels and discuss the motion of the market and day ahead. Probably best to keep trade sizes manageable (i.e. smaller) and good luck!
Stock Market Futures Video Update – December 11, 2018
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The author trades stock market futures every day and may have a position in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
