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To: The Ox who wrote (3784)10/20/2014 1:41:10 PM
From: Return to Sender  Read Replies (1) | Respond to of 8239
 
I think there is room for the market to run higher here and still have it end up being a bull trap. Watching the volatility indexes on daily charts is a great way to judge things. If they get 10%, or more, below their 10 day sma's or touch the lower channel in the next week or so then I might just start doing some shorting.

Way too many warnings from large cap stocks for me to think the market will be heading towards new highs in the immediate future.

If it goes the other way and we retest last weeks lows then I will try some short term trading to the upside before shorting.

VIX, VXO and VXN on 6 Month Charts versus the S&P 500, DJIA, NASDAQ and SMH:
















3 Year Weekly Charts