On DOT I explained the 725 target in following post...<<now we need to close above 675 and a retest of 725 will be in offing, if
625 is taken out before 725 we go lower to test 550 again, if we fail 725 second time
we will go much lower to test as low as 450>>
I think a retest of support on DOT at 628ish making a higher second low is positive for the market, but 675 remains the first hurdle and than the 700, I would any way try to highlight that at 725 which is still is very likely one should get out of all internets and go in at 750 or beyond, like wise a break of 625 on closing basis or looking at momentum of selling, that is one good sign of internets
one can also liquidate long positions, these are purely a momentum play and don't ever worry to take tghe positions out if they are not helping.. Like wise a break of support has to be properly traded... like 1342 highlighted again this post.. I think nothing is better than a strategy planned in advance, the game of investing
is about 'anticipation' it is event driven market, a good trader smells the moves look at both sides and trade, look at BKX not only we were breaking 1342 but 918 broke we went thru it tested this support at 907 and bounced back anyone looking at the indicators I highlight in the posts would have seen the trap and bounce was just that test of 1319 a support point above 1318....
Friday, Apr 30 1999 5:50AM ET
Reply # of 25972
Test of 2504 and a successful one too is a good sign with DOT 626 test this is a healthy
development after a big move to 725 area from 540, a retracement of nearly 60% of the
move is good now we need to close above 675 and a retest of 725 will be in offing, if
625 is taken out before 725 we go lower to test 550 again, if we fail 725 second time
we will go much lower to test as low as 450. So markets are shaping up nicely and one
needs to watch for that 1504 and DOT index with nearly 500 billion $ of cap it can
easily correct 50 % without a dent on the market. SPM 1342 remains an imortant
support and so does BKX 918 in overall shape of things,
I think that the only way to trade for me are these small posts and that is how I trade, I rarely second guess once I see some troubles as I get confirmations from co-rleated indexes.. |
