BTIG: Bulk of the bounce is done, durable market bottom still ahead

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BTIG: Bulk of the bounce is done, durable market bottom still ahead

The market rout from a week ago triggered some tactical buy signals, leading to a recovery in stocks over the following days, clawing back of the week’s losses.

BTIG also points out that market sentiment remains mixed, with put/call ratios returning to levels last seen in April, which is a positive sign. However, the NAAIM exposure index, which tracks the average stock market exposure of active investment managers, is still elevated, exceeding typical levels observed during market washouts.

BTIG maintains a favorable outlook on real estate investment trusts , noting their ability to hold at the breakout point, but it views homebuilders as vulnerable as long as they stay below key resistance levels.) ETF consolidating while testing the $225 level for the fifth time in recent months. “A breakout seems imminent in our view,” strategists said.

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Source: CNBC - 🏆 12. / 72 Read more »