Global downdraft raises caution flag
August 18, 2009 at 12:21 PM EDT
Bringing two weeks of range-bound price action to an end, Mondayâs global downdraft featured both decidedly negative market breadth and the major equity benchmarks violating support levels. While these signal a near-term corrective phase and increase the risk of further losses in the short run, one day doesnât alter broader trends and from a technical perspective, the longer-term path of least resistance remains higher.