Ignore inside days (yesterday’s up bar) – today’s up thrust signals weakness

On Tuesday, the stock market sank. On Wednesday it gained, but the low was above Tuesday’s low and the high was well below Tuesday’s high. This makes it an inside day and something to be ignored. Today’s up thrust tells us that selling is more powerful than demand. The close was pushed down for what would have been a very nice gain. Until this selling pressure dissipates it will be impossible for the stock market to gain ground.

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