INDEX UPDATE
==========================
I rechecked my earlier analysis and confirm that the next strong support is at 9000 on the DOW. If the DOW gets to 9000 on TUE or WED, the DOW would signal at least a CLASS 2 BUY.
My short-term technicals called for a CLASS 1 SELL for today, but I also have a short-term cycle top towards the end of the week. I had also thought that there would be a zig-zag pattern until the short-term top, but todays selloff surprised me, since it was muc larger than I had thought it would be.
It was a strong selloff today, and bearish sentiment rose. The sell-off was basicly broad based, but I did notice that the RUT, although weaker than the major big indexes for the last 2 weeks, did not sell off as much as the major indexes.
I just finished reading Jerry Favors update calling for higher highs, which surprises me, since I can find few technical signs indicating HIGHER HIGHs, not just a retest of 9375 on the DOW. If he is correct - it would simply be a great call.
Seeya
|
