The difference today is the $TRIN.
These past few days when $SPX has essentially gone nowhere, the intra-day $TRIN readings indicated that dip buyers were out in full force. Yesterday, while the market was dropping, the $TRIN was dropping too and was giving readings in the low .7x area for a major part of the session and as one might expect with such a low $TRIN, the market did not fall off a cliff but was bought back to essentially par. But that was then, and this is now.
Current $TRIN reading I have is 1.37, down from a high of 1.67, and this indicates that dip buyers probably aren’t going to meet with the same kind of success today that they found yesterday as sellers appear to be only to happy to off load shares. If the $TRIN does not drop back to 0.99 soon, then don’t expect any intra-day bounce to hold.
Perhaps the sell-off that I’ve been expecting for the past couple of weeks has now arrived but the market has played me for a fool so far and I won’t be surprised if that continues.
“When life looks like easy street, there is danger at your door.” Grateful Dead
GL and be extra krispy careful if you decide to buy this dip.