We have the lightest volume of the year today. Technically, it is a good sign when volume contracts on a day of profit-taking, but it also means we will not go very far and prone to rollover. The best case for the bulls would be...
Read MoreUpdated for today first 2 hours, the SPY TrendX is hugging the zero line while the Detrend looks to be rolling over after last week’s low volume bump. Once we cross the Detrend zero line the odds are clearly with the bears...
Read MoreWild gyrations on Italian worries couldn’t keep bullish seasonality from holding sway, leaving the S&P 500 (SPY) up +0.9% on the week. I continue to lean net bullish. However, price is once again in neutral territory...
Read MoreWe hit roughly the 50% retrace area of yesterday’s decline early, went back down to test yesterday’s low and finished higer. The bulls are barely avoiding a lower low weekly close at this moment. Apple broke its 50...
Read MoreI mentioned the danger of an afternoon “trap door” yesterday and it came to pass with a vengeance. No buying at all…as evidenced by the flatline NYAD (orange line). What was surprising was that the NYAD...
Read MoreThis post is about how I define how much money is assigned to each trade also known as money management. More sophisticated traders define money management about how much risk you want to take for given trade. I want to extend...
Read MoreItaly was obviously the catalyst for today’s vicious selling, but bulls just got too comfortable buying the dips after a big move. As the extent of the problems becomes known and the market begins to understand that there...
Read MoreThe SPY TrendX turned negative at yesterday’s close…a timely clue for today’s downturn. TrendX has now crossed over the zero line (updated at mid day today) and we’ve only seen one instance in the last 6...
Read MoreWe had the anticipated news that Italian Prime Minister Silvio Berlusconi would resign. After a brief retreat and the bulls launched another Europe-is-saved rally. The action has become a bit V-ish again as we recouped almost...
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