rb, hopefully if i'm right, those intraday moves are sellers absorbing the buying frenzy as the nasdaq goes higher, with a big volume doji after a long parabolic trend from the 1/28 low showing distribution.
This chart pattern of the nasdaq is very similar to the schwab and aol charts of last winter, prior to the blast into the april top. this week we did a hammer off the rising wedge inverted H&S pattern, on March 23rd schwab did the same then went parabolic vertical into mid april.
The nasdaq has that potential-and if it does i'll cover and re-short her, but from looking at some of the most frenzied charts, i don't think so, i also believe the biotechs have topped, they had the most vertical move on this leg up and got exhausted, look what happened to bgen.
damn, and if everybody is going so ga ga, over nas 6000, we have a dow theory sell signal that would have gotten you out of every major market slide, but everybody is ignoring it because it's old economy -g-
If you would have told me a couple of months ago that the dow would be at 10,000 with the put/call ratio hitting in the low .40's and high 30's, day after day i would have said your crazy.
b |
