I'm gonna be a nut here and say that the fifth one, whenever it might come, won't hold
Of course it won't hold. That's the neckline of the baby SPX H&S. home.pacbell.net
The S+P has the mini H+S right now (with that 930 area as the neckline) that Allan scoffs at <g>.
Yeah, but you have to remember how cold it is where he lives, way out there on the Atlantic Ocean, all by his lonesome. It'd be enough to make just about anybody cynical. <G>
It's odd to me how many chart patterns and candle patterns have been drawn over the past few days that COULD have meaning, but haven't yet proven themselves.
You must mean something like the INDU mini-H&S...
home.pacbell.net
But the COMP and NDX H&S patterns look to be playing out pretty text book:
home.pacbell.net
home.pacbell.net
We had dragonfly dojis yesterday that were denied today.
Yeah, but that's 'cuz only about three people have ever bothered to read Nison instead of just looking at the halfassed candlestick websites and thinking that candlestick patterns are automatic. Just ain't so...
Biotech should be falling from that big wedge. Today was a juicy decline. . . but will it fall farther? Or is the wedge not "real"?
It doesn't really matter, IMHO, if that wedge was/is real or not -- that thing was/is just wiggles. All anybody really needs to know about BTK, probably for at least a year, is this big, badass, 19 month descending triangle.
home.pacbell.net
(BTW, I love that pattern, on account a I found it way back in like March and raised it from a pup. <sniffle, sniffle>)
Heck, we've just done a low volume test of the big SPX H+S, like outta a textbook. Yesterday Allan noted a point where tech might bounce but said "it's too obvious." Despite that, it bounced (for a day).
Ahh... Therein lies the crux of the issue, me thinks. AA just plain needs to get out more. Between living in the middle of nowhere, and hanging out here all day, he's got himself convinced that the whole world is composed of E-Waving TA-aholics. I think that's TOTALLY wrong. IMHO, maybe 1 % of all "investors" know enough about any form of TA to use it successfully, and at most, 10% of Wall Street "pros" do so.
This is the biggest, baddest, nastiest, bear market in at least 70 years, so why in the world should it be surprising to see H&S patterns popping up all over the place?
And why in the world is it shocking when basic, bearish, TA works during the biggest, baddest, nastiest, bear market in at least 70 years?
Sure, there are a lot of whipsaws, and the influence of hedge funds makes things more volatile, and the PPT, (whether AA chooses to believe in them or not), have been messing around in the futures and such, trying to smooth out the ride down.
BUT, when you see a text book dark side play setting up, set a tight stop and short the farker for heaven's sake!
JMHO. Your mileage may vary. Always consult your physician, your accountant, and your attorney before beginning any exercise program. Etc. |
