You are correct df.......looking for a downside breakout.
Rising wedge in SPX?
- Thread starter DeepFried
- Start date
You are correct df.......looking for a downside breakout.
today we hit the exact high of 1307.50 on the sept es from last friday and backed off.i've been doing this 17 years and i just have a feeling of sucking all the sidelines money in and bamm dropping fast in the next few weeks. the complaceny is incredible and people don't know why we're rising and don't care. we've had more earnings warnings the last 4 weeks than we've had in the previous few years. earnings are topping no matter what rates or oil does. it's a bit dicy this week as traders are bored and they will try to spin all the economic news positive to sky us.
But we also made a higher high on cash today.
Or busting through and just keep om going
All that nonsense is altready discounted.
All that nonsense is altready discounted.
I'm surprised I am the only one pointing this out.
A rising wedge is a continuation pattern. Continuation patterns require a previous trend or at least a solid momentum run.
1. The month of May has hardly been a definitive show of bearish dominance. 50 pts. at most, which is not all that amazing given this current climate.
2. That's not really continuing anything. The previous trend was a slow choppy channel upwards.
3. You're ignoring the peak at the start of June when you draw your wedge. That reveals you lack some basic understanding of the mechanics behind chart patterns. You're deliberately seeking the October low, rather than trying to read the chart for what it is.
Whether or not the market goes down is hard to determine. I am bullish, but I will not stick by it if I see a violation of 1260, myself. If the S&Ps break down soon, you cannot claim it's the realization of a bearish continuation pattern (upward wedge) if you're consistent with standard TA. You'll be rolling dice.
A rising wedge is a continuation pattern. Continuation patterns require a previous trend or at least a solid momentum run.
1. The month of May has hardly been a definitive show of bearish dominance. 50 pts. at most, which is not all that amazing given this current climate.
2. That's not really continuing anything. The previous trend was a slow choppy channel upwards.
3. You're ignoring the peak at the start of June when you draw your wedge. That reveals you lack some basic understanding of the mechanics behind chart patterns. You're deliberately seeking the October low, rather than trying to read the chart for what it is.
Whether or not the market goes down is hard to determine. I am bullish, but I will not stick by it if I see a violation of 1260, myself. If the S&Ps break down soon, you cannot claim it's the realization of a bearish continuation pattern (upward wedge) if you're consistent with standard TA. You'll be rolling dice.
The fact is that many reversal patterns are nested, one being larger that the next.
We shall see.