kichan - generally double tops and especially ascending
triangles all have negative divergence, they are 3rd wave tops
generally with the pattern being a 4th wave consolidation and then
you get a 5th wave move up. So ascending triangles have divergence
all the time and that is not bearish at that point becasue they
push up generally to form a hew 5th wave high
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spy chart
Posted by kichan77 on 22nd of Aug 2008 at 01:33 pm
SPY chart
We are still in no direction yet. But i think odds still favor more downside.
With MACD crossed down in daily charts, so as other indexes...
Likely we could see some sideway bounce to work off the oversold condition...Then setup another leg down..
Comments are welcome!!!!
Yes, but the weekly charts
Posted by dodgerdog on 22nd of Aug 2008 at 01:52 pm
Yes, but the weekly charts are still looking very constructive.
as I see $compq formed
Posted by kichan77 on 22nd of Aug 2008 at 02:12 pm
as I see $compq formed double top with negative divergence in 15 minutes chart. let's see how it play out.
kichan - generally double tops
Posted by matt on 22nd of Aug 2008 at 02:24 pm
kichan - generally double tops and especially ascending triangles all have negative divergence, they are 3rd wave tops generally with the pattern being a 4th wave consolidation and then you get a 5th wave move up. So ascending triangles have divergence all the time and that is not bearish at that point becasue they push up generally to form a hew 5th wave high