A post from RB
MARKETS --- Well the markets didnt break down, just closed near the lows.
DOW the STRONG one ends down 2 points after gapping up and having a plus 85 points at the highs. However the candles not all that bearish, we did not get anywhere near the lows of yesterday. Whats clear is we are in the very least correcting down.
The S@P touchs the low of yesterday and closes just above ALMOST a outside key reversal, but its still a bearish engulfing as far as I am concerned as it closed so close to the lows and clearly engulfed the highs, a large reversal day. Also yesterday formed a spinning top, play as a doji, was looking for a close below the low and we almost got it today, tomorrow???? By the way many daily charts never show gaps for the S@P, however the S@P did gap up on the open, to get a better read on actual opening gaps see the SPY chart.
The NAZ100 The weak one, still leading the markets lower. Todays candles and yesterdays about same as S@P, just the NAZ is still weaker.
R2000 important to note this chart looks horrid, did a clean outside key reversal, the ABC counter rally did not even see C hit the level of A, this chart looks plain bad news.
Clearly without question we have rotation out of small cap and high spec stocks into large cap and more consertive stocks. This is a very bad sign for the bulls, cleary we are getting more RUNNING to security as many are afraid the markets will go down.
Notice the VIX, it looks to have bottomed, meaning fear is on the riase again, that means there will be a reluctance to buy, and the markets need MASSIVE buying to fight to get higher, we saw that yesterday as the markets struggled so hard for gains and most all was given up in a flash today.
Want to see weak, see SHLD
Oh and the GOX did a outside key reversal also, gold stocks not looking so good.
I already posted about SU, it does not look pretty, but not a outside key reversal, it closed above the lows, but not a pretty candle.
And good old CWPC, closed on support, looks like lower to me.
For a EW read, looks like the ABC wave (ii) upward correction completed at the highs today, that being the case expect a little bounce as we are completing intial 5 wave move down, lets say we are likely in minute wave iv of i circle of (iii) of 3 of primary 3 down.
By the way I have decided to invest some time and post some charts at SI and likely Dr Bobs site, I cant be bothered wasting time trying to post links at POS RB as they have so many blocks, so likely this weekend. But be warned playing bridge Friday aft and Saturday so maybe Sunday. |
