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Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?

To: Johnny Canuck who wrote (49134)	1/30/2013 9:39:42 PM
From: Johnny Canuck	1 Recommendation Read Replies (2) \| Respond to of 70344

SP500 has been stuck in a tight consolidation range for the last 4 days. Once we get past 5 days the probablities of a larger move out of the range increases. The direction is up to external forces so it is had to tell from the pattern. The longer the pattern goes sideways the more the probability of a downside break down. Despite the high volume on a down day the uptrend in the DOW remains intact because of the trading range on the day. The wide range on above average volume on the DOW transports is very concerning though as the DOW transports led this rally. Techncally the uptrend is still intact, but extreme caution is now needed. One should tighten stop losses even more. Still sideways on the COMPQ. Heavy follow through on the Russell 2000 tomorrow would generate a short term sell signal. On the plus side the sell off today was on only average volume. An intemediate sell signal would only be triggered on a break of the old high. Intemediate uptrend still intact on the financials, but the mini descending triangle of the last few day is of concern and a negative sign. I expect energy to re-test the break out above the old high. Gold is still on an intemediate trend sell signal. The high volume today is traders that were looking for a break out above the descending trendline being shaken out. Oversold bounce in natural gas. Intermediate trend is still sideways.