One Study Suggesting We Bounce Today

Large gaps down rarely fail to bounce at all and sell off so persistently as happened yesterday. In the past this behavior has often been followed by a rebound the next day. The study below exemplifies this.

Unfortunately, it looks like the market is going to open today well below yesterday’s close. Of the instances listed above there were only two that gapped down the next day. They were the most recent two instances. This puts us in somewhat uncharted territory.