Equity Markets: Technical Update (11-25-08)
Wednesday, November 26, 2008 at 6:13 am
Doji day! Yes it was. Nothing really happened and the day was plastered with indecisiveness. If you tried to get in-and-out throughout the day, chances are that you didn’t end up green. Typically, I would enter short positions at the end of the day, but today proved, once again, that the market likes to show its altered personality in the last half hour of trading. Thus, I remained in cash once again. Days like yesterday mark a 50/50 chance for a sharp movement in either direction, and it’s usually a reversal. Many sectors look like they will reverse imminently, so be warned (Example: Solars).
SPX 1-day
SPX 3-day
SPX 10-day
SPX 6-month
POOF! Your Turkey bounce is dead.
GOBBLE GOBBLE!!!!!
GOBBLE GOB–>(shotgun blasts)
(silence)
POOF! The BIG BAMBOO is gone.
Party POOPER! yeah, hangover time next week