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Old 12-18-2006, 08:50 AM
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POC and indices that "lead" it

A lot of times people will talk about the Nasdaq leading the broad market, or the Russell2000 leading the broad market. Here's an interesting scenario for today. The YM is above POC from Friday and has traded up to VAH premarket and bounced down. The ER2 has traded up to the POC from Friday (it remains below POC) and bounced down. The NQ remains right around POC as of now, post news. Is there anything to glean from this?

Usually when we open up below POC, I'm having a little bit of a bearish tinge to my bias, and above POC is bullish. Now, we're inside of value on ALL of them, so we may just have an inside day, but definitely something worth thinking about. If the futures of the markets who are believed to lead the broad market are opening up at or below their POC, should we have a negative tinge to the market as a whole? Let's find out
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