In yesterday’s post on the sp500 it seemed as though we had a clear intraday reversal at hand and an easy chance at higher prices. I did mention in yesterday’s post that, “A down market tomorrow that retraces and closes more than 50% into today’s reversal hammer would potentially eliminate today’s move as a clear … Read more
The sp500 today once again rewarded the bullish crowd. Today is the kind of day that should tell one if he/she is short the market, that it is not the correct path of least resistance. The sp500 today ‘dipped its toes into the water today’ to see if it was warm enough for swimming. The … Read more
Today looks simply like the pause that refreshes after yesterday’s barn burner upside move in the sp500. Sometimes the best signals the market gives us come from tape action that does NOT occur as opposed to what actually happens during the day. What did not happen today was a significant ‘give back’ of yesterday’s substantial … Read more
For the very short term outlook there may exist a modified version of the bullish harami cross candlestick pattern in the sp500. This occurs when one sees a long body down candle and then a doji on the next day that is fully engulfed within the previous day’s candlestick body. We did not exactly achieve … Read more
The market is looking a bit exhausted at this point. I issued a BOT Short Signal in my previous post because there seems to be enough evidence building up that says we should at a minimum do a gap fill of several days ago and maybe some more downside after that to work off the … Read more
Have you ever walked on a frozen pond before? Do you remember how you walked very carefully over it and then probably stepped very lightly on the ice to ‘test it’ to be sure that it was solid enough to keep walking further? Well we may be close to a similar process in the DJIA. … Read more
The sp500 today continues to power higher on seemingly endless amounts of good news. A buy signal was confirmed based on the MACD histogram today as we closed above yesterday’s high. Volume ticked up today as well on the SPY ETF. It appears now as though the sp500 is on a mission for 1219.80 which … Read more
The sp500 has once again printed today another indecision candlestick, a long legged doji. We now have quite a large cluster of these indecision doji’s and other candlesticks that so far are only really saying that we have reached a pause in the up trend that began in early September 2010. At this point I … Read more
Today the sp500 printed what looks like a perfect hanging man candlestick. Since the entire rally starting in early September 2010 I have not seen such a perfect hanging man candle. It is called a ‘hanging man’ candlestick because that is exactly what it looks like, a man hanging with his legs dangling. Today’s hanging … 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