Daily DMI continues to be bullish but also the weekly DMI is getting very close to turn green. It has already turned green for DOW and Russell2000 but is still lagging for Nasdaq and SPX. Speaking of weekly chart I notice that we climbed above a major downtrend line formed by the 2007 high and April's high. This is bullish on long term time frame.
SMA200 started rising again and is now around 1119. The uptrend line climbed to 1070 on daily chart and to 1100 on weekly chart. There is a little bit of resistance around 1172 but we had little volume there since the level has been touched for only one day.
Have a nice weekend!
babaro
Babaro, a few days ago I posted regarding an inverse head and shoulders pattern that seems to have developed. I had doubts at the time, but it does seem to be valid at this point. It would target 1200 or 1220.
ReplyDeleteWhat do you think?
http://whatisthatwhistlingsound.blogspot.com/2010/09/inverse-head-shoulders-pattern.html
It is possible that we are going back to 1220. There is pretty much no resistance ahead since the plunge from 1220 was violent and it has left behind a huge gap and as you know gaps tend to be filled with the same speed.
ReplyDeleteNextresistances 1182-1200-1217..
ReplyDeletewhen we'll be at one of these game over.
S&P is drawing the same shape of the Nasdaq in 2000.We've the best future in in Nasdaq past.
In november when the indeces will stop in 1182-1217 area will be the end of the bounce and the true and strong bear long term will start again.No mercy at that time for bull..2 years of bulls death.S&P can rise (as you can see checking also bovespa,another wonderful future)another +2-4.5%..nothing else...and between up and down.Bovespa is at a 1.5% to close the double high around 72000 and it generally anticipate the trend alway for some days.
In the time and in the space no future for bulls.