Steve, do you see this more of an over-lapping bear flag, or a
basing for the RS of an IHS bottom? Certainly one way to look
at it is that we broke under 1363 pivot area and are back-testing
-- all the while "normalizing" sectors (bearish rotation).
Where 3 days ago, $INDU looked to be leading a charge up and
was in no way ready to break down, it has since caught up and now
every major sector is closer to losing this 1340-1360 (equivalent)
support area.
Kalinm - still tracking the diagonal (wedge) that I posted
earlier to see if the SPX can make another push higher. That would
represent either a LD (leading diagonal) wave 1or A off the bottom
or the ED (ending diagonal) for wave C of an expanding flat.
The ED would be bearish because it
completes the flat for the bear count and would imply a new
low.
LD is short term bearish because once it completes, there
would be a sharp reversal but should hold the 5/9.
EDs= Wave 5 or C
LDs = wave A or 1
Due to the overlap, the only way to label an impulse to the
upside would be a nested 1-2 up which is a lower percentage option.
Overall, the choppy advance (wedge) keeps me suspicious and
cautious as this up leg unfolds.
SPX Short Term Views
Posted by steve on 10th of May 2012 at 10:16 am
$SPX - Chart Link
$SPX - Chart Link
$SPX - Chart Link
Steve, do you see this
Posted by kalinm on 10th of May 2012 at 12:20 pm
Steve, do you see this more of an over-lapping bear flag, or a basing for the RS of an IHS bottom? Certainly one way to look at it is that we broke under 1363 pivot area and are back-testing -- all the while "normalizing" sectors (bearish rotation). Where 3 days ago, $INDU looked to be leading a charge up and was in no way ready to break down, it has since caught up and now every major sector is closer to losing this 1340-1360 (equivalent) support area.
Kalinm Here is My Reply
Posted by steve on 10th of May 2012 at 12:45 pm
Kalinm - still tracking the diagonal (wedge) that I posted earlier to see if the SPX can make another push higher. That would represent either a LD (leading diagonal) wave 1or A off the bottom or the ED (ending diagonal) for wave C of an expanding flat.
The ED would be bearish because it completes the flat for the bear count and would imply a new low.
LD is short term bearish because once it completes, there would be a sharp reversal but should hold the 5/9.
EDs= Wave 5 or C
LDs = wave A or 1
Due to the overlap, the only way to label an impulse to the upside would be a nested 1-2 up which is a lower percentage option.
Overall, the choppy advance (wedge) keeps me suspicious and cautious as this up leg unfolds.
Great, very clear Steve. Thanks!
Posted by kalinm on 10th of May 2012 at 12:53 pm
Great, very clear Steve. Thanks!
breading down here?
Posted by harveykoss on 10th of May 2012 at 12:08 pm
anyone looking to ease into a small short pos. here?
Posted by harveykoss on 10th of May 2012 at 10:22 am
yep, gently, i like the
Posted by morgan8 on 10th of May 2012 at 10:30 am
yep, gently, i like the gap up open with no follow through and oppotunity for a tight stop