Bullish Case is Not Winning Over the Bears - Posted by Coolhand

Well, Wednesday's market trading didn't do much for the bullish argument. The market didn't fall apart, it just felt like it for a little while. But while it didn't fall apart, it did close out with moderate losses.

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Price on the S&P tested its 50 dma again and bounced back to close over that key average. Price on the DWCPF fell as well and remains within its trading range (the lower part of it), but also below its 50 dma. That index seems to be gearing up for another test of horizontal support. Momentum remains negative.

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Cumulative breadth fell and flipped modestly bearish today.

So, the market continues to get hit with weakness, but also continues to dance more or less in a sideways pattern. It sure is beginning to feel like a top may be in, but it's still a bit early to make that call (price will almost certainly be lower before that call might be made).

I remain bearish.