Street / protrader / traderx, Well spotted TradeRX... just goes to show why we should rely only on ourselves and not on so-called gurus. Regards, Candle
Short term analysis: For the time being and if we look at the Nasdaq chart and the main tech stocks such as Yhoo, Msft, Csco they are all interesting bearish configuration that are not triggered yet. The level on the Nasdaq 100 that will trigger a bearish signal is 1560. If we penetrate this level then there are high odds that the market will head down to reach 1460 and 1327. The level that will invalidate my bearish scenario is 1565. If this level is surpassed then the market proved me I am wrong a nd that it is much stronger than I expected. In the long run : I am not extremely bearish. For me the 1460 and 1327 are key levels that have to prove support in order for the bullish trend to continue. But for the time being no certainty either go down to 1460 and then go up to reach new highs ; Or continuation of the bearish move and the market will then break those supports (1460 and 1327).
I agree, they're funny mentals. I'm no trend expert like Candle but it looks to me like two downtrends broken. One an about April20. one on about November1. One more is a hairs breadth from being broken now, and each one is shallower than the one before. Also, the NAS was above the 200 day moving average in December (for the first time in 15 months). If I had to bet, which I don't, I would say that there is a real possibility that the market could go up from here. Especially if it breaks above the current line.