>The tide has turned<
The tide may turn...but it has not actually turned yet.
If you look at this chart of the Nasdaq, it still is in a downtrend:
stockcharts.com[l,a]daolyymy[de][pb50!b200!a645!d20,2][vc60][iLe12,26,9!Lh14,3!Lq3,10!Lg!Lo14!Lf!Ln]
If you look at these charts:
lowrisk.com
the drop big from 5000 Naz to 3000, the subsequent rally,
then rollover from there, we are still in a downtrend.
If you look at a stock like CPQ that is trading at a PE
of 80 plus, we are clearly still massively overvalued -
it would take decades of growth to justify paying that kind of PE ratio for a stock that has declining earnings.
Of the limited universe of stocks that I follow, all NYSE listed that have the highest volume, IBM, LU, and XRX have just triggered tick money flow divergence sell signals. (my fav is IBM at 118 - 120)
Hold your nose, and let's see if you can beat the pattern. |
