Today we had a rejection day. For me it means that Bears hand more power than Bulls after a strong negative day. This is information that I will carry forward.
In days like this, I always review these charts to gain a bit of perspective.
The difference between yesterday and today compared to last Thursday and Friday is that today, the selling pressure stopped and later regained strength, closing at the bottom. This suggests that the bulls are not in control as they have been for a while.
Tomorrow, the trend could change. It is time for the VIX and other hedging products to gain some traction if the current trend is going to gain momentum.
