S&P500 down 1.13%, Small Cap down 1.33%, and International down 1.92% just today. Wow. We are well below the 50 day moving average and most channels are broken. The Small Cap is just barely or right at the bottom of the channel. Today most of the indexes created a lower high which allows me to draw new down trend lines which is also a negative for the charts. If your still in, be very careful because if this thing gets rolling we could see $1300 to $1295 in a hurry.
Right now the pre-market numbers for Tuesday are indicating about 2 to 3 points up but the Japanese market is currently down 1.2%. The European market is not open yet so I do not how that particular market will react to all this news.
What we need to happen now is for these new down trend lines to break and price start to move back up. We need a new pivot low to indicate a reversal or possible reversal. Then I would like to see price rise above the 50 day moving average and then maybe I would go all in to try and grab a quick 2 or 3% rise. High risk, but worth the shot if all the variables are there. So watch the charts, price and blog closely to see what happens.
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