If the NAZ moves up one more point it will explode. All indicators are pointing to a drop.
I believe indicators are a way to trap people... everyone gravitates to what is working until they stop working. Could be a good way for the "smart money" to try and take money from us small guys and gals. After 3 yrs of a bear, I find most only look at indicators like VXN, VIX, etc. for the length of the bear and forget that some of these were much more extreme in 1999. People on a medium term (1-3 yrs) winning streak have short memories perhaps?
Yes, I've been thinking this is setting up an inverted head and shoulder and 1500 is the neckline
stockcharts.com[h,a]dhclyymy[d20020601,20031231][pc20,50!d20,2!f][pc20!c50!i!d20,2!b100!b200!f][vc60][iut!Uo14!La12,26,9!Lh14,3!Lc20]
We kinda got a double headed monster and droopy shoulders but I think the key is to be flexible and look for overall idea of the iH&S...
Looking at that chart even longer term, it looks like a big handle on a cup with handle.
but most of the message board TA guru's are bearish... so I still hate to sound bullish and look a fool... but being long has been the answer since last Fall. How long it continues is anyone's guess.. but I agree that if we get a few pts higher then 300 more is not out of the question.
Head n shoulder, cup with handles on medium to short term is real support and resistance levels that even academics agree are valid statistically. I can't even seem to find eWave people who agree on how to read them so I've stuck to simpler stuff. It will be interesting to see who is right. I don't move much money on TA as I just use it to try to get better times and price points to go with asset allocation, but I do enjoy the discussion.
cheers
Kirk out
PS Who was it that said "to da moon!" ? -vbg |
