Sunday, December 22, 2024

Gap was filled, but volume is weak…

bull-falling-off-cliff

The gap was filled today on the intraday low from 2008, but I'm still looking to see the closing gap filled at 110.34.  Tomorrow is Friday, and usually has light volume.  (Today the market only traded 170 million shares on the spy).  So, I'm not expecting a major pullback yet.  They will try to get to that 110.34 area, but they may not get it tomorrow?  If not, then Monday should hit it.

After the market hits the gap fill (on a daily close) I'm expecting a big sell off.  I posted that I believed we would hit 1100-1108 spx back on September 27th...

(http://reddragonleo.com/2009/09/27/weekend-update-2/)

Of course it wasn't accurate to the exact time frame, but it looks like the target will be hit.  Anyway, don't expect too much tomorrow.  Another flat to slightly positive day.  I'll have more on my weekend update.  However, be prepared as the next couple of weeks are going to be nasty for the bulls. 

Red

Red
Author: Red

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gannsecret
gannsecret
15 years ago

Red,
Heres some more stuff you can use
Gann used to draw his trendlines in the following manner.
1 pt per day ( a 1X1)
2 pts ” (a 2X1)
3 pts ” (3X1)
4 pts ” 4X1
8 pts ” 8X1
16 pts ” 16X1 so now 1100 is important because
we are 10 days from the oct 2 low of 1020. 1020 + 80 is (8X1)=
1100 and the 4X1 is at 1060 the next important level.
Try these trendlines on your SPX charts. So if this is a short term low today and the 19th-20th is going to be the high,
Monday is 11 days from the oct 2 low and the 8X1 is at 1108 !!
8X11 = 88 + 1020 = 1108

Red Dragon Leo
15 years ago
Reply to  gannsecret

Thanks,

It looks like early next week we should hit the magic number of 1108, then let the sell off begin!

Listen, if you would like a place to make some posts on, I'd be happy to have you do a few here.

Of course this blog is new, as doesn't have much traffic, but it would be a great place for you to get your feet wet. If you're interested, send me an email (red at reddragonleo dot com) and I'll set you up with an admin account.

We'll work out the details in the email. If you're too busy, or just not interested, still keep commenting from time to time.

Red

gannsecret
gannsecret
15 years ago

Red,
Heres some more stuff you can use
Gann used to draw his trendlines in the following manner.
1 pt per day ( a 1X1)
2 pts ” (a 2X1)
3 pts ” (3X1)
4 pts ” 4X1
8 pts ” 8X1
16 pts ” 16X1 so now 1100 is important because
we are 10 days from the oct 2 low of 1020. 1020 + 80 is (8X1)=
1100 and the 4X1 is at 1060 the next important level.
Try these trendlines on your SPX charts. So if this is a short term low today and the 19th-20th is going to be the high,
Monday is 11 days from the oct 2 low and the 8X1 is at 1108 !!
8X11 = 88 + 1020 = 1108

Red Dragon Leo
15 years ago

Thanks,

It looks like early next week we should hit the magic number of 1108, then let the sell off begin!

Listen, if you would like a place to make some posts on, I'd be happy to have you do a few here.

Of course this blog is new, as doesn't have much traffic, but it would be a great place for you to get your feet wet. If you're interested, send me an email (red at reddragonleo dot com) and I'll set you up with an admin account.

We'll work out the details in the email. If you're too busy, or just not interested, still keep commenting from time to time.

Red

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