I was looking for the market to pullback some this morning hours
(perhaps to around 1080-85 on the SPX) to relieve the overbought
readings. Then I'm looking for a rally back up to make a new
marginal highs (above yesterday) since the indexes do not display
negative divergence.
Some potential targets if this plays out are:
1098 on the SPX where (y) = 1.62 x (x)
The Dow has resistance between 10,300 -10,400 as a potential
target.
The above targets are near term - No reason to short without
getting a decent setup.
Steve, What's a target of your pullback? I observed that it
would occur after one trading day after making a high when the
stochastic at the 60 minute charts is underneath the 20s area. I am
referring to Matt's chart from last night's update. I am looking
for an opportunity to lighten on shorts, if the market continues
being strong. Thanks! (edit: the chart in reference is not from
last night's update, so I don't remember where I saw it.
Sorry!)
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Comment
Posted by steve on 10th of Nov 2009 at 09:02 am
I was looking for the market to pullback some this morning hours (perhaps to around 1080-85 on the SPX) to relieve the overbought readings. Then I'm looking for a rally back up to make a new marginal highs (above yesterday) since the indexes do not display negative divergence.
Some potential targets if this plays out are:
1098 on the SPX where (y) = 1.62 x (x)
The Dow has resistance between 10,300 -10,400 as a potential target.
The above targets are near term - No reason to short without getting a decent setup.
Steve, Also looking at the
Posted by junkie on 10th of Nov 2009 at 10:54 am
Steve, Also looking at the chart and your formula, how do you measure (x)?
Steve, What's a target of
Posted by junkie on 10th of Nov 2009 at 10:51 am
Steve, What's a target of your pullback? I observed that it would occur after one trading day after making a high when the stochastic at the 60 minute charts is underneath the 20s area. I am referring to Matt's chart from last night's update. I am looking for an opportunity to lighten on shorts, if the market continues being strong. Thanks! (edit: the chart in reference is not from last night's update, so I don't remember where I saw it. Sorry!)