I think we're closer to an interim floor
than a roof so I'll take the other side of this one.
All of the indexes have an inverted H&S
look to them, VIX/VXN have a H&S look and even XLF looks like it
wants to get frisky. So it looks like it may be time
for a "no news is bad news - don't worry be happy, buy stocks" sucker
rally which would likely be measured in weeks/months, not days.
Seasonality also favors this
scenario, plus there has been a noticeable change in character of
the intraday price action over the past week or so. I don't know how to
illustrate that or even describe it other than to say it became
more comfortable being in long trades versus short trades.
Of course this is just a forecast which is
nothing more than an opinion, and I learned a long time ago not to
trade opinions (especially mine or ones based on squigglies), so I'll do
what I always do which is whatever the charts tell me to do. I also hope
I'm wrong because if I'm right and the bulls resume
control they will suck the volatility out of the stock market (and
others) and that's something I do not want to see happen.
----- Original Message -----
Sent: Saturday, December 06, 2008 2:22
PM
Subject: [RT] sp500
Attach please find a gif of the long term
trading,it is a tool for swing trades, position trades of 3-8 buss
days,
it currently suggests that the max upside
potential is 35-40 sp points
and we are already closer to the roof than the
floor,
nice week end
Ben
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