Textbook Bullish chart pattern appearing accross major indexes

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panamaorange

Im surprised no other tech analysis blogs/TV analysts are noticing this.


This bullish megaphone bottom pattern looks much sharper than this lopsided "Bearish H and S" everyone seems to be seeing
And its still intact, barely.

http://i659.photobucket.com/albums/uu317/panamaorange/megaphone2.jpg



Here is some background on the pattern

Some call it a "broadening bottom".

http://www.coveredcallswins.com/chartpatterns/BestBullish&BearishPatterns.html#broadening_formations

http://www.trending123.com/patterns/Megaphone-Bottom-Chart-Pattern.html

http://www.scribd.com/doc/23502961/Chart-Patterns-and-Technical-Indicators
 
Quote from ssaya401:

What do you see in the news or economy that would lead to the market taking off like that?
More...

There aren't any major bullish fundamentals

But, the safety trade is too crowded.

Look at TLT FXF VXX FXY. These same 4 nearly called the exact top above 11k--when they were all too crowded short.

Now, theyre all too crowded long. So, were probably less than one hundred dow points from a major squeeze up.

When the "safety trade" becomes crowded---it becomes unsafe to avoid risk.

Of course, one good hurricane, and we could send BP to zero--crashing the FTSE london exchange.That would hit major markets worldwide. I am keeping an eye on the weather.
 
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