Technical bear case:
- The Advance-Decline Line (for NYSE) has failed to make new highs (market breadth is week). ADL on chart.
- Slow Stoch indicates a not-yet-oversold signal, but is close. Confirming a sell-off.
- Futures have faded nearly every day of the last week (morning strength, afternoon weekness).
Commentary bear case:
We have seen a clear...
SIRI buyback plan should be enough to take this to at least 5.00. If that happens it's a 46% upside potential.
Daily RSI and Stoch are poised for a break-out higher as well.
Large volume increase on 3.15.2014 confirms potential.
Bullish indicators:
The near-term high volume support area of SPY indicates (at the moment) that support is holding.
Near-term Stoch also is close to oversold.
If support holds then a 80% up day (on NYSE) would confirm bullish trend and set-up for a retest of highs. (Go long if this happens for a reduced-risk play. AKA - buy on dip recovery.)
Risks:
A...
Perhaps those that missed the 2013 Bull market are sitting on the sidelines with cash - waiting for a back test of the Secular Bull breakout. Sept 2014 might be the month of that back test.
