Bulls Will Struggle Without Higher Volume

by Sam Collins   06/30/09
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The NYSE traded just over 1 billion shares, with advancers over decliners by 8-to-5. Nasdaq traded 632 million shares, but decliners were ahead by 7-to-5.

August crude oil closed at $71.49 a barrel, up $2.33, and the Energy Select Sector SPDR (XLE) gained 45 cents at $48.34.

August gold fell 30 cents to $940.70 an ounce as the dollar inched higher, and the PHLX Gold/Silver Index (XAU) fell 16 cents to $143.64.

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What the Markets Are Saying

Even though the S&P 500 gained almost 1% yesterday, the Nasdaq, the leading index of the last month, faltered and had a tough time making headway.

Those who use the candlestick method of charting will note a "doji" in the Nasdaq. This occurs when the open and close are about the same.

According to Chris Burba at S&P, the implication is that "after a powerful advance in the prior three days, the bulls lacked the conviction to extend gains today. It indicates that the uptrend has been halted."

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