lots of bearish engulfing on the weekly charts

Quote from alexandert:

Bearish enguilfing could be bulish.
More...

Can you elaborate please? (If you mean it is bullish because I'm shorting I guess you know how I feel about that: GL to you :P)
 
Quote from fickletrader:

Can you elaborate please? (If you mean it is bullish because I'm shorting I guess you know how I feel about that: GL to you :P)
More...

It depend on the stage of the move. Right now the SPX, NDX and other indexes are at 50 MA support.

The best bull moves starts after the bear trap. I think that last week action was a Bear trap. Some people call this pattern as PVP reversal (daily chart). You can see reversed head and shoulders forming on the $RUT. Dow theorists call it higher low after higher high. But the prove will be on Monday - Wed of the next week. If market breaks the 50 MA support on the Daily charts - all bets are off. We are going for March high test otherwise.

I usually right 6-7 times out of 10. So rely on your own conclusions.
If you think that the market going down based on the bearish enguilfing alone - you might be wrong. I would advise you to use a mental stop and good luck to all.
 
Quote from alexandert:

It depend on the stage of the move. Right now the SPX, NDX and other indexes are at 50 MA support.



Yes, reverse psychology, since it signals down and we think its going down, really should buy.

There is, on many stocks and indexes, a series of lows from March to June, will it break? I dont know and am only willing to do a few shorts on this one. Sometimes there are stocks that are ahead of the market, Ford looked like it would drop but held the lows. I am waiting till end of this week to jump in or wait a bit longer.
More...
 
You must log in or register to reply here.
Back
Top