Trend Line Resistance

Stocks ran into resistance at the decline trend line on Monday.

The initial surge out of the DCL caused stocks did get a bit stretched above the 10 day MA on Monday. Stocks may need to consolidate to allow the 10 day MA to catch up to price. However, even if this daily cycle left translates, stocks should still go ahead and break above the the declining trend line and also turn the 10 day MA higher as they rally out of the DCL.

Leave a comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.