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Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA -- Ignore unavailable to you. Want to Upgrade?

To: Killswitch who wrote (14411)	8/22/2002 11:50:52 PM
From: Killswitch	Respond to of 19219

Rydex. Basically unchanged since last night... we've reached the point where no further longs want to buy in, and no more shorts want to cover. IMO, it would take significant further rallying from here to get any more short squeezing action.

To: Killswitch who wrote (14411)	8/23/2002 12:58:52 AM
From: lifeisgood	Read Replies (1) \| Respond to of 19219

Can you explain in a bit more detail? I'll try. Since 1994, on the SPX, the weekly RSI has dipped to the low 30's level or lower on 4 occasions. It subsequently rose to above 50 on two of those occasions, above 60 on another, and above 70 on the last. Eyeballing the average change at ~57, we still have quite a way to go. The nasdaq composite and NDX have shown similar patterns. Combined with what typically occurs when the VIX surpasses 40, I'm reasonably convinced we'll see more upside over the next 2 - 4 weeks. best... LIG