I hope this system will help those who are confused by present day FUNDAMENTAL NOISE.If you're trading with weekly or daily charts,always take a look at a monthly chart and trade with the monthly trend. Above the special CLOUD is BULLISH and below is BEARISH.The 10 MA above / below cloud is a confirmation of the trend.The 3 indicators below are used for filtering...
CAT is still BEARISH.Stochastic is imbedded(below20), the Force Index is flat below "0" and price below 10MA.
SPY is finding support at lower channel line and bottom of BB(100). HIGH PROBABILITY SET UP, see notes on chart.
INDEX is on the verge of breaking down.At moment the DPO is below the mid point. A break below support would signal a medium term DOWNTURN in the Q's.>>>>DIVERGENCES are very effective with this INDEX ,especially when they occur at the bottom or top of the BB(100). Great Index to watch for the short to medium term swing trader.
If SPY ends today at around these levels,I would take some profit here as we have reached a short term trend line resistance with slightly diverging oscillators.If you are a long term investor I would still be long as the major trend is still bullish.
The BB(100) has ability to show when a stock is in a strong BULL or BEAR phase as you can see in this chart of POT. During the strong BULL phase the price stayed outside of the BB(100) for almost 2 years.However during the run up we had a few big red candles that dipped below the BB which might have scared you out of the trade.In most cases I would want to see a...
Looks like we are going down to support, oscillators bars getting longer.Remember folks, candles that stay outside the BB(100) signifies strong selling pressure.
OVERALL TREND is BULLISH for DXY. There is a minor DIVERGENCE at top of bollinger band so there could be a minor correction down to the bottom of the RISING WEDGE,after which the trend should continue upward.Any time you have price near resistance or support you have to start watching for candle stick reversal patterns and the length of the DPO bars.At the moment...
I thought I would change the way I analyze S1TH. Basically,above 100MA is BULLISH and below is BEARISH. The DPO(50) is used as above 0 is BULLISH and below as BEARISH, it's also used to detect short term DIRECTION(falling/rising), DIVERGENCES and exhaustion spikes. At the moment we seems to have mixed messages. The INDEX is below the 100MA and the DPO is below...
THE EURO IS NEAR 2 KEY SUPPORT LEVELS.THE LENGTH OF THE CURRENT DPO BAR CONVEYS THAT THE EURO WILL KEEP FALLING .THE BOTTOM OF THE BB(100) WILL ALSO ACT AS SUPPORT.
a symmetrical triangle is forming, price should reach one of the 2 resistances just above
shorting or put buying opportunity in CMG ,read notes on chart
PRICE OUTSIDE BB(100) SIGNIFIES A RUNAWAY MOMENTUM
HOW TO SPOT A 99% SURE TOP
The SPY is long term BULLISH.We closed this month(June '12)with an up green candle above 10 MA. Monthly target near 143
PROFIT TAKING AT KEY SUPPORT AND OVERSOLD DPO. I would still keep some position short as the trend is still down, the stochastic has not crossed and price still below the 10 month MA.