NOV 7 INDEX UPDATE
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Short-term technical readings:
DOW - INTRADAY CLASS 1 SELL, SPINNING TOP/IMPERFECT HARAMI
SPX - INTRADAY CLASS 1 SELL, DOJI/IMPERFECT HARAMI
OEX - INTRADAY CLASS 1 SELL, SPINNING TOP/IMPERFECT HARAMI
NAZ - INTRADAY CLASS 1 SELL, INVERTED HAMMER
NDX - INTRADAY CLASS 1 SELL, INVERTED HAMMER
SOX - PENDING CLASS 1 SELL, DOJI
VIX - OVERSOLD REGION, never got a CLASS 1 buy yet(inverse to market)
NAZ NET NEW HIGHs-LOWs = POSITIVE 16
All the major indices did give INTRADAY CLASS 1 SELL signals, but as mentioned often intraday signals are not as reliable as CLOSING SIGNALs. Also the window is until the next day's highs.
If tomorrow rallys some I could get another set INTRADAY CLASS 1 SELL signals which would solidify the sell signals. I would not be surprise to see some of the indicies retest today's intraday highs, before the selling resumes/intensifies, nor would I be surprised if tomorrows highs broke above todays intraday's highs slightly.
So for the short-term, I believe that we are at a short-term top or within a day(tomorrow).
As for the strength of this forthcoming pullback, I am not expecting a huge pullback, just something normal in size - something like 3-5 points in the QQQ's, at least for now.
Im more inclined to say that the overall market is on the verge of starting a trading range that could have a slight incline for the majority of the winter. The reason I feel that a trading range is upon us is basicly that the market internals are not overly great nor overly bad, just BLAH-BLAH-BLAH. gggggggg Also we are now in the best half of the year(NOV-APRIL). And per the following study, NOV-JAN are the best months of the year:
mathematicalanalysis.com
As mentioned often previously, there is one significant NEWS ITEM that could motivate the market on the bullish side and that is if BIN LADEN/the terrorist organizations are captured/under control.
Will be looking to possibly initiate shorts tomorrow if the market is up intraday, otherwise Im not one to chase - I'll just roll some more dumplings. |
