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Strategies & Market Trends : Classic TA Workplace -- Ignore unavailable to you. Want to Upgrade?

To: Moominoid who wrote (123385)	8/28/2005 6:03:02 PM
From: Shack	Read Replies (2) \| Respond to of 209892

The issue for the bears isn't tied to putative larger counts. If I wanted to David I could say this decline off the August high is a (ii) of 3 and we are about to head into the epicentre of wave 3 up in the wave off the early May low (hypothetically speaking). The crux of the problem for bears (and I implore the use of daily charts here) is that the NDX decline off the top is structured correctively unless as your chart implies, we drop down out of this slow moving channel and everything we have seen off the top is a series of 1's and 2's. And FWIW, I think that requires an inordinate amount of creativity at this juncture. Some sentiment musings: Meanwhile during this decline the Nova/Ursa ratio has dropped to 0.18 and the 10 day MA of the equity P/C (all-exhanges) is up to 0.76, very high. Tells me that bearishness is abound. BTW, take a look at the 38 strike on the Sept QQQQ options. There are now nearly 500,000 put contracts open at that strike compared to just over 110,000 call contacts. The charts are not saying up yet, but IMO there is a recipe here for a major ramp. Of course this remains only a recipe for now.