NYX Chart and Discussion, 50 DMA Holds
You can see by this chart that NYSE Group (NYX) is trading at resistance around $100 as it has begun to create a downward moving channel. As well, you can see by the blue box that the 50 DMA, or daily moving average, held up nicely for the stock, and for those who caught it at this point, you could have made some quick cash. The market is selling off today with inflation worries, but after yesterday’s big move and Monday’s high volatility day, I almost expect it. I wouldn’t buy NYX here, as I’d wait for the 50 DMA to pull closer towards $100. Typically stocks will recieve support at an uptrending 50 DMA…
twice to setup a nice bull flag pattern. For example check out my chart on M R V Communications (MRVC), I will be posting an update post on the stock here today, and it is a prime example of how to play off the 50 DMA for some strength. Keep an eye on NYX to see how it ends up closing today though, a close above $100 on strong volume could mean good things next week.
