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
Here is a close up of the weekly reversal doji hammer on the sp500. This weekly candlestick seems to support the case that we get a reversal higher next week. To confirm this weekly candle we need a close higher than 1207.43 by the end of next week. This reversal doji is of the long … 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
I have been reviewing the long term quarterly charts of the Dow Jones Industrial Average in the current decade and the decade of the 1970’s. The 1970 period has provided me with some enormous cutting edge clues as to our current long term outlook. The structures are not exactly the same and one should never … Read more
Today the Dow Jones Industrial Average accomplished a key milestone. It broke back above and into the very important resistance range that has defined a top for the DJIA several times before. If the DJIA is able to hold a weekly, monthly and then quarterly price breakout into this range, then it implies that the … Read more
The sp500 today did not confirm yesterday’s potentially bearish hanging man candlestick (sigh). Instead the bear forces which almost seem non existent as of late were not even able to print a lower low compared to yesterday’s low. There is now only one trading day left in October 2010 or 6.5 hours of trading which … Read more
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
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
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
The long term up trend line from March 2009 may come into play if we are to see the most bearish scenario start to play out. At this time I am still looking for more bearish confirmation and observing the nature of the tape before I can say with any degree of confidence that we … Read more