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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: John Pitera who wrote (18967)

4/6/2017 8:44:18 AM

From: The Ox

Read Replies (2) | Respond to of 33421

5 min SPY chart ADX showed the most extreme rating in a long time. Should be good for a short term rally, IMO.....but....this is the first sign of potential bearish diversion in the market's mo-mo. As robert stated not long ago, we could be seeing a distribution (short/intermediate) topping process forming. The setup since the Feb highs is "encouraging" for the bears and while I'm not long term bearish, I'd have no problem with a solid backfill move into the mid 225-228 range on SPY. A move like this would reset the overbought indicators in the weekly (see below)