Interesting post RP. In the short term, I think the
markets can go either way, but I'm seeing negative divergences on
just about all of my intraday charts. Odds are they play out,
question is when.
Speaking of divergences.... $SOX continues to lag. Semis
outperformance at bottoms and underperformance at tops have been
pretty foolproof indicators for the last year (or more). This
combined with Dr. Copper, china..... etc. etc. Also to note,
the lower low on the $SOX last week invalidates the triangle, no?
But, from what I read (from people who are EW and chart
pattern gurus), this triangle that is being talked about isn't
really a triangle.... it just looks that way. So maybe the
$SOX invalidating that doesn't matter anyway.
kalinm -
regarding your ratio and SOX under performance comments: here's the
SMH/QQQ ratio, possible overlapping flag or B pullback of an ABC
pattern. Under this scenario a C wave up would manifest, and
that would give the market another nice push
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Interesting post RP. In the
Posted by pebs on 23rd of Dec 2011 at 02:30 pm
Interesting post RP. In the short term, I think the markets can go either way, but I'm seeing negative divergences on just about all of my intraday charts. Odds are they play out, question is when.
$sox underperformance
Posted by kalinm on 23rd of Dec 2011 at 02:40 pm
Speaking of divergences.... $SOX continues to lag. Semis outperformance at bottoms and underperformance at tops have been pretty foolproof indicators for the last year (or more). This combined with Dr. Copper, china..... etc. etc. Also to note, the lower low on the $SOX last week invalidates the triangle, no? But, from what I read (from people who are EW and chart pattern gurus), this triangle that is being talked about isn't really a triangle.... it just looks that way. So maybe the $SOX invalidating that doesn't matter anyway.
kalinm - regarding your ratio and SOX
Posted by matt on 26th of Dec 2011 at 06:12 pm
kalinm - regarding your ratio and SOX under performance comments: here's the SMH/QQQ ratio, possible overlapping flag or B pullback of an ABC pattern. Under this scenario a C wave up would manifest, and that would give the market another nice push