Wednesday, December 11, 2013

Still More Selling But- S&P 500 Price/Volume Heat Map Dec. 10

Following the retest of the high, the S&P 500 has continued to pull backed, falling by about 30 basis points in yesterday's trading. This was as all sectors except for discretionary and materials names pulled back. 


The decline in the S&P 500 in recent trading sections appears to be more about a lack of buyers versus an influx of sellers. Although the price/volume heat map showed a few sectors with increased supply (actually utilities, healthcare and staples), the remainder of the sector groups showed benign supply/demand dynamics. The second day in which this set up has occurred. More so, the decline in equity prices yesterday came on light total volume. In all, I think the data characterizes the last few sessions as predominantly noise and that traders/investors are waiting for some piece of news to shake them from their comfort zones.


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