Unless something happens overnight, probably open up, I would assume. EUR/USD is so close to a common downside target of 1.29, I don’t know what would push it down any farther. The markets rocketed upward on the slightest dollar weakness, but are barely budging when the USD gains strength.
We are putting in the same exact pattern (bear flag) that we have put in twice in the last 2 weeks. Each time the market rallied from it, instead of falling into another leg down. Will this time be different?
This bear flag should cause the market to drop to the 1150 level tomorrow, or early Wednesday… but will it? Is the 3rd time the same or different? Inquiring minds want too know…
Yes, I agree that POMO is now overrated. The best it should do is just give the market a small bounce day. That should be Wednesday and/or Thursday as those days have the most money to support the market.
However, I do see more downside coming. How low is unknown, but at least 1150, if not 1130 spx I believe.
Interesting tidbit. There has lately been an inverse correlation between POMO and the markets lately. POMO in, matket down. My guess is that GS and their crime syndicate put out the word to frontrun POMO last month, then started this program to steal more money from legit investors.
Leo, As i stated earlier POMO is not going to put a dent onto equity markets. http://reddragonleo.com/2010/11/23/fooled-again/#comment-103714170.. Today’s decent down move confirms this even after dual POMO day. I think it is one of those “overrated” themes created by the media to justify markets going up. 🙂 I’d say we all are better off concentrating on the charts rather than this POMO thing. 🙂
PS: I am really surprised though to see a red day and i lived through it???
We’re sitting right on the 50ma on the daily chart right now. If that breaks, 1150 is the next target. I don’t think it will today, as it appears that the heavy selling is over. Plus, all the short term charts are oversold right now.
So, as long as the current bottom holds, we could float sideways to back up the rest of the day. Tomorrow is unsure right now. It depends on what happens the rest of today.
Unless something happens overnight, probably open up, I would assume. EUR/USD is so close to a common downside target of 1.29, I don’t know what would push it down any farther. The markets rocketed upward on the slightest dollar weakness, but are barely budging when the USD gains strength.
We are putting in the same exact pattern (bear flag) that we have put in twice in the last 2 weeks. Each time the market rallied from it, instead of falling into another leg down. Will this time be different?
This bear flag should cause the market to drop to the 1150 level tomorrow, or early Wednesday… but will it? Is the 3rd time the same or different? Inquiring minds want too know…
I have exactly 50/50 signals on my 15min chart on the indexes…Market can go equally either way on Tuesday.
Great call from Fri. Red! Gap down Monday
Precious metals following their own pattern at the moment.
Yes, I agree that POMO is now overrated. The best it should do is just give the market a small bounce day. That should be Wednesday and/or Thursday as those days have the most money to support the market.
However, I do see more downside coming. How low is unknown, but at least 1150, if not 1130 spx I believe.
Interesting tidbit. There has lately been an inverse correlation between POMO and the markets lately. POMO in, matket down. My guess is that GS and their crime syndicate put out the word to frontrun POMO last month, then started this program to steal more money from legit investors.
http://www.zerohedge.com/article/brian-sack-meet-selling-interest
Leo, As i stated earlier POMO is not going to put a dent onto equity markets. http://reddragonleo.com/2010/11/23/fooled-again/#comment-103714170.. Today’s decent down move confirms this even after dual POMO day. I think it is one of those “overrated” themes created by the media to justify markets going up. 🙂 I’d say we all are better off concentrating on the charts rather than this POMO thing. 🙂
PS: I am really surprised though to see a red day and i lived through it???
ES Triangle http://niftychartsandpatterns.blogspot.com/2010/11/s-500-futures-triangle-pattern.html
We’re sitting right on the 50ma on the daily chart right now. If that breaks, 1150 is the next target. I don’t think it will today, as it appears that the heavy selling is over. Plus, all the short term charts are oversold right now.
So, as long as the current bottom holds, we could float sideways to back up the rest of the day. Tomorrow is unsure right now. It depends on what happens the rest of today.