In last few weeks the market has been in holding pattern. There are signs of distribution in some technology stocks. But nothing major .
Breakouts on upside are not having vigorous follow through. Many end up giving up intra day gains.
The market will need a catalyst to get out of this phase. The earnings season has started this week and that should act as a catalyst. The earnings are expected to be worst earnings so far since the market put a bottom in 2009. Let us see how market will react to that.
One positive for the market is the low interest rates and Fed pledge to keep them low.
Breakouts on upside are not having vigorous follow through. Many end up giving up intra day gains.
The market will need a catalyst to get out of this phase. The earnings season has started this week and that should act as a catalyst. The earnings are expected to be worst earnings so far since the market put a bottom in 2009. Let us see how market will react to that.
One positive for the market is the low interest rates and Fed pledge to keep them low.
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