The Dow Theory sell signal kicked in (see Barron’s Online column) and Friday the Dow was down 200 or so points intraday to close down 100 (I use round numbers when on the road as I am now). Yep, the media and pundits scared everyone with the big bad bear market and on cue they sold the next day.
But a funny thing happened on the way to oblivion – some major market indices and ETFs not only came off their worst levels but closed higher. But the Dow closed down 100! That’s not good, right?
Let’s go to the charts.
The Qubes (Naz ETF) closed a tad higher and sport a very arguable meeting lines pattern. Nice volume, too.
Spyders – a nice spinning top with big volume. Possible abandoned baby? Don’t predict how a pattern will complete but pay attention.
The Dow itself. Oh yeah, a new low. But huge volume and could that be a hammer? Again, don’t predict it will be confirmed but what it if is?
Quick Takes Pro subscribers, we’ll talk about this in Monday’s report. Everyone, what do you think? Again, I have no grand bullish delusions here but the evidence is interesting, no?
