Hello Ike,
You're response to election driven market direction was unsettling to me. But, you made me go hard to find some answers. Being an avid user of candle sticks, I've analized approx 150 charts over the last week, of industry leaders across the spectrum, Oils, drugs, health, bio, tech, transport, mfg, retail etc. They all appear weak. I will agree that now this decline is not election driven at this point. But I do belive based on those charts, that this appears to look like a set-up for a further decline. If you look at institutional activity over last week, any attempt at a rally was sold into very heavy by institutions. I beleive in the disguise of election news fallout, but actually weak economy, and earnings driven. You know as well as I that over the last 5 years you could use an Idiots technique of "averaging" buying a dip, and look like a hero. What better way to clean off the table, using this election confusion as a front. When the results are finally official, It appears that that rally is going to be sold fairly hard. Curious as to your read.
John |
