A good landing or another bad fall? That is the question for the market as Thursday's Follow Through days gives the bulls a glimmer of hope that a bottom is in again.A follow through day on higher volume is significant. Tuesday's rally didn't have the volume that strongly suggested that a new uptrend would begin, but Thursday's follow through removed any doubts in my mind that it is very possible to move up from here.
Caution, however, is still prudent. This is the area where it gets important. We need a good week next week or the struggle will continue. Those folks that are skeptical of technical analysis may suggest that Thursday's volume was up because it was an options expiration day, but they can not dismiss that there were a lot of buyers willing to stay long over the long weekend.
I am still holding some cash, especially after getting out of a bad MON call trade early on Thursday, and will not add to my long position until the markets signals some more bullishness.
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