However, the market’s light volume in the overall market is not unexpected as August, traditionally, is a calmer month and big institutional traders are on hiatus. Yet, the lack of trading doesn’t reflect the high trading volume in financial stocks.
Michael Norman, founder of Pitbull Economics, says that rising markets with light volume doesn’t make it bearish, but suggests low urgency and in actuality, could be bullish. Regardless, investors should be aware and have an exit strategy in place if a pullback materializes.
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Max Chen contributed to this article.
