Underlying bid | stockbee

3/19/2013

Underlying bid

There is an underlying bid in the market. Every time it dips a bit , it bounces back quickly. The Cyprus induced gap down was quickly bought and has not dented the market at all.

There are professional bears in the market and they were salivating on Sunday at a prospect of big drop, but the conditions so far have not favored them.

At this stage the sentiments are not extremely bullish and the breadth has come down from excessively bullish readings, that may help stock to make another attempt at a high.

While the overall market is one piece of the puzzle , the more important piece of the puzzle for swing traders is to find setups that will work. In this kind of market you have to look for non extended setups. They come in batches. 

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