Agreed on the SI; it's just a smoothed index. Pretty cool for keeping the noise down, but it is possible to get a false signal, albeit rare.
NYMO went very high last week, way out of proportion to market gains. I figure that when it comes down, it will level the rally. A very notable precedent for this is September through November, 2008.
With today as a black candle (yippee!) the usual MO is a big red candle tomorrow.
FWIW, I think we are on our way to 975. I think we will have bounces at 1075-90 and 1040, but am pretty sure that's where we're going.
I have been relying on CPCI and CPCE signals given over the past 5-6 days, as well as a divergence in NYMO in May/June lows, and am fully short. I cannot believe I got it right, and am pinching myself.
Pretty bearish charts. Hope we get confirmation tomorrow.
On a whim on open this AM I picked up some SPXU thinking it would be a quicky on a bounce. Turned at pretty nice.
Interesting note on the $VIX:
http://dailyoptionsreport.com/blog/post/the-vix…
Agreed on the SI; it's just a smoothed index. Pretty cool for keeping the noise down, but it is possible to get a false signal, albeit rare.
NYMO went very high last week, way out of proportion to market gains. I figure that when it comes down, it will level the rally. A very notable precedent for this is September through November, 2008.
thx
SP 500 Analysis after closing bell
http://niftychartsandpatterns.blogspot.com/2010…
Just in my Ameritrade account (using Think or Swim charts)
I was looking at that this weekend as well. There are some interesting anamolies that I picked up.
Be careful with the summation index. It really has no meaning. I have Sherman's original book and his printouts. He only used it to confirm.
what sites are you seeing the fake on Red?
With today as a black candle (yippee!) the usual MO is a big red candle tomorrow.
FWIW, I think we are on our way to 975. I think we will have bounces at 1075-90 and 1040, but am pretty sure that's where we're going.
I have been relying on CPCI and CPCE signals given over the past 5-6 days, as well as a divergence in NYMO in May/June lows, and am fully short. I cannot believe I got it right, and am pinching myself.