Late Day Dip Dooms the Day, But Still Not a Problem

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December 17, 2008

The bulls wish the day had ended about 3:45 PM EST. If it had, the market would have taken only small (negligible) losses. Instead, a late-day selloff in the last 15 minutes led stocks to fairly dramatic lower closes.

Still, it’s a relative victory. All the indices (and index ETFs) managed to once again close above some very annoying resistance levels, and today’s selling volume paled against yesterday’s buying volume. Best of all, the VIX still closed lower (and under a major support level). This isn’t a big problem for the bulls.

S&P 500 SPYders (SPY) - Daily