The next 3 trading days or roughly 20 trading hours are going to be interesting to observe. My observation of the daily candlesticks of the last few days says that the market appears to be slowing in upward momentum with some signs of supply coming into the market or at the very least ‘pausing action’. … Read more
It probably would have been a better idea for me to switch to neutral this morning instead of long. Neutral makes a lot more sense given today’s close. It was a quick decision before I had much time to review my charts enough and it was not a decision based on the close today. Lesson … Read more
The attempts at looking for weakness in the stock market are not working. I am switching back to Long signal as of the current price in the sp500 which is 1194 as I write. I expect the market to ‘drip’ higher into the end of October and then expect to see some selling in the … Read more
Who says you cannot trade off of the MONTHLY sp500 candlestick chart? When it comes to end of month it can be a useful guide for the potential trade setup. There are exactly 5 trading days left in the month of October not including today. That means that next Friday, October 29, 2010 will complete … Read more
The sp500 is not making much upward headway, so the issue is does this just turn into another platform for a jump higher or is it a platform for a reversal down? Yesterday a candlestick pattern similar to 3 black crows cam in on the hourly chart but it is far from perfect and is … Read more
The 5 day EMA is pretty close to 10 day EMA crossover in the summation index. In addition the RSI of the summation index is ready for a break down below the 70 line. The is a slow moving indicator and it is still going to take some time before we can stick a real … Read more
Apple Inc. AAPL is still showing what looks like a bearish divergence between MACD histogram and price. The current upside reactionary rally is pushing to higher highs on lower and lower volume and the juice is drying up. Today not only does it push to a higher high on much lower volume again, but it … Read more
Quite some time ago I was fortunate enough to wake up to Glenn Becks radio program and hear him talking about the Hindenburg Omen market crash signal which he was going into quite a bit of detail on his radio program. I indicated at that time that it could possibly be a very powerful contrarian … Read more
I really do hope that we hold 1181 or lower on the sp500 by the close today. It would in my opinion really help to seal the bear case and and the short side of this market. I continue to believe that the short side is the right side into end of October 2010. I … Read more
Here is another way of looking at the sp500 chart in combination with the 2009 long term up trendline and the lines that connect the recent action in April 2010 and October 2010. It appears to take the shape of a very large symmetrical triangle that has seen many rejections on different portions of the … Read more