Market Direction Mid Week Update©

Market Direction: BEARISH alert issued 10/27/2016

With the election over the stock market opened today in the red. The belief of most investors is it is not how you start, but how you finish. The stock market finished quite higher and it appears the recent bearish alert could be rolling over and changing back to a bullish alert. If the stock market continues to close higher like today this will be the reality. 

It’s still all about the election and markets grappling with the reality that Donald Trump has been elected president of the United States.

After a wild overnight trading session that saw fear permeate markets, US stocks bounced back sharply on Wednesday to close just below a record high.

The economic calendar is light this week, with Thursday featuring only the latest weekly report on initial jobless claims.

Stocks rally, Treasuries fall

In a massive reversal, US stocks gained more than 1% across the board during the trading day on Wednesday after a more than 4% plunge in futures overnight Tuesday.

Dow futures fell as many as 800 points and the blue-chip index rose more than 300 points to eclipse a closing record during the day Wednesday.

From top to bottom and back to the top, the Dow made a nearly 2,000-point round trip.

The major action on Wednesday really happened in the US Treasury market, where yields rose sharply after a “safe haven” overnight rally. The US 10-year bond yield rose to as high as 2.09%, the highest since January, during the day Wednesday. Bond prices fall as yields rise.

$tockMarketDirection proprietary model is currently BEARISH. We strongly encourage you to monitor positions closely, exercise proper money management strategies and follow us at $tockMarketDirection for ALERTS we may issue advising a change in the current market direction. Stay tuned and follow us. If you have a testimonial or comment of how this website has helped you we would like to know, email us. Share with a friend.

The all-time lows since our initial recommendation to go SHORT this market. Here is how the markets have performed:

Stock Market Direction Recommendation (10/27/2016)
Dow	down 286.12 points a 1.57% gain	11/4/16
Nasdaq	down 181.56 points a 3.48% gain	11/4/16
S&P 500	down 49.25 points a 2.31% gain	11/4/16

Related Link: http://www.stockmarket-direction.com/