We are heading into the end of July, and with settlements today was the last day for the funds to trade in this month.
We are on important support, and the stock bulls must rally tomorrow or risk some serious slipping all the way into the end of summer.
Volumes continue to be lackluster, but fear of financials are curbing the animal spirits. The big Jobs Report is coming out at the end of the week, so we may see a few more rally attempts until then and one might stick. But if they do not, the market can turn ugly, quickly.
Keep an eye on the financials. The market cannot sustain a rally without them. The low volume may be the bull's best friend, vis a vis a short squeeze attempt. But if serious selling starts, look out below.
"'I beg you, father, send Lazarus to my family, for I have five brothers. Let him warn them, so that they will not also come to this place of torment.’ Abraham replied, ‘They have Moses and the Prophets; let them listen to them.’ No, father Abraham,’ the rich man said, ‘but if someone from the dead appears to them, they will repent.’ And Abraham said, ‘If they do not listen to Moses and the Prophets, they will not change and repent, even if someone were to rise from the dead.’” Luke 16:27-31