Sunday, December 22, 2024

Are They Walking Off A Cliff?

walkin-off-cliff

Is the selling every going to stop?  Yes... at least for a short while I believe.  I'll make this brief, as I'll do more research and post it on my weekend update.  I believe that we may gap down on Monday and rally back to close positive, or simply open up positive, sell off a little and rally back to close positive.

Either way, I think Monday will close positive or flat.  I think this move below the major support level at 1080 is to trap shorts.  I still see next week as a positive week, most likely creating our larger wave 2 as I posted on last weeks' Weekend Post.

I've said throughout the week on different blogs with my comments that it should go back up to 112.00 area.  Since the sell off went so low, I'm not sure if it will make it that high?  Maybe, but 110 is more likely now.  We'll see.  But for now, I'm still long on the USO, and don't have any shorts right now.  I'll reload next Friday most likely in anticipation of wave 3 down coming the following week.

Red

Red
Author: Red

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moon
moon
14 years ago

thanks Red

Red Dragon Leo
14 years ago
Reply to  moon

You're welcome moon… Be sure to stop by an read the weekend update posted late Sunday night.

dark1p
dark1p
14 years ago
Reply to  Red Dragon Leo

Finally remembered to bookmark you! I'll be trolling by on my daily rounds….I like your observations, you make me think.

Red Dragon Leo
14 years ago
Reply to  dark1p

Thanks dark1…

I try to open peoples' minds to “thinking outside the box”.

And thanks for helping Anna's critters too!

Red

redvetttes
redvetttes
14 years ago
Reply to  Red Dragon Leo

outside the box , your right,with this no volume run-up?
Monday has been MF Monday,what happens when it doesn't show-up?. will there be a bounce with volume and a 9-1 day ?
1100 -1120 or 1150 ,on a failed moved and the shorts wait for the bounce?
Just watching gas for now. Gas leads oil and oil will be a tell on the market,My take and I could be wrong
Good luck all

steveo77
14 years ago

Charts of Charts hints at a coming bounce….it doesn't stay that bearish for too long, unless it is a major down, and I don't think we are at the point of a major down.

Little Dog has this to say about Chart of Charts:

You know I like the moon, but it is really weird that the eclipse marked this turn down precisely. Also the 5 DMA flipped down right then, and the yellow line for “high levels of stock ready to make some pattern move” also showed us the potential for a turn. AS PREDICTED by your humble dog last week, the 20DMA did flip bearish on Monday, and then stayed there.

The 5, 10, and 20 DMA are all bearish. That is rare. Betting short on the 20DMA going bearish is “safe” you just have to close the trade– no matter what– when the 20 comes back up bullish.

Also, with the number of banks failings increasing, and now they aren't just closing them on Friday's, they did a bunch on Tuesday also! This is bearish.

The consumer is 70% of the economy, and the consumier has been misled and is being crushed. Even if you default on a loan, or EVEN if you do a short sale….they can still come after you and garnish your wages…while you are living in a freakin' tent already!

http://oahutrading.blogspot.com/2010/01/guest-p

Red Dragon Leo
14 years ago
Reply to  steveo77

I believe it is a “major downturn” Steveo. Be careful going long my friend, as you might be served up as steak to a hungry bear!

redvetttes
redvetttes
14 years ago

your sheep should be bulls

Red Dragon Leo
14 years ago
Reply to  redvetttes

Well, their sheep this time because the bulls aren't going to be jumping over a cliff until February 8th-9th comes… then the fun begins! Mmmmm…. steak, its' what's for dinner!

redvetttes
redvetttes
14 years ago

your sheep should be bulls

Red Dragon Leo
14 years ago

Well, their sheep this time because the bulls aren't going to be jumping over a cliff until February 8th-9th comes… then the fun begins! Mmmmm…. steak, its' what's for dinner!

redvetttes
redvetttes
14 years ago

outside the box , your right,with this no volume run-up?
Monday has been MF Monday,what happens when it doesn't show-up?. will there be a bounce with volume and a 9-1 day ?
1100 -1120 or 1150 ,on a failed moved and the shorts wait for the bounce?
Just watching gas for now. Gas leads oil and oil will be a tell on the market,My take and I could be wrong
Good luck all

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