AA, the end of month ramp on the Dow in April resulted in a 250-point jump. It's also a nice little throw-over on the falling resistance on the Dow 60-minute drawing through the May 17 and 24 pivot highs without getting too close to the brutal resistance at Dow 10,220. It is also close to one of those bands (don't make me say it <G>).
I do see it would cause a lot of overlap. 10,181 is also the 50-day SMA on the Dow daily.
da_cheif and his clix system also have one thing that really works, and that is when it gets over -15 or +15. The reading yesterday reached -19, which normally indicates an imminent oversold bounce. That's the only thing I can say I've seen consistently correct from that system.
He's overly bullish, and completely opposite of my thinking of the market direction. However, when he has something like this signal that is right consistently, you have to be man enough to admit it works.
This ramp, if it comes, could also help round out a bearish flag on the Dow daily.
A break of Dow 9975 could shoot it up to 10,120 with a few bumps along the way at MA's.
The drop already broke out of the falling wedge from the 10,220 pivot high on the 60-minute. |
