Yesterday's market action was positive.
On Monday the Nasdaq broke its five day losing streak and ended the session with a decent 2.5% gain.
With trading volume coming in above average this signifies institutional buying. Another good sign was the Nasdaq ended the session on its highs indicating the high possibility of more upside to come.
It was good to see the Nasdaq 100 outperforming the other indexes, as it was the 100 leading the charge before the correction began.
India underperformed and global materials and Russia outperformed. Leading stocks behaviour was positive.
Ideally from this point I would like to see more up days on above average volume then to complete the picture a follow through on one of the main indexes. This would help confirm that we've probably hit a bottom, meaning we are ready to start heading back higher again.
With the markets taking big hits the last two months it may take time to heal so we may find volatility remaining high, staying calm remains the mantra of the day. Reminding oneself that you are a long-term investor and that portfolio losses are temporary also helps.
Please note past performance should not be used as a guide to future performance, which is not guaranteed. Investing in the Funds should be considered a long-term investment. The value of the investment can go down as well as up and there is no guarantee that you will get back the amount you originally invested.
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