On Wednesday we discussed how the weekly outlook for stocks took a bearish turn. On Thursday it appeared that the Fed intervened to prevent stocks from breaking below the early August low, which is causing volatility in the market.
Stocks appear to be heading into an intermediate cycle low. Stocks are also caught between the 10 week MA and the 50 week MA. So while in there is uncertainty for stocks in the short term, we can be certain that a trending move cannot begin without stocks either closing above the 10 week MA or closing below the 50 week MA.