The Waiting Game

Friday’s action brought us closer to the apex on the SPX bullish falling wedge (60 minute chart).  In addition, there is divergence in the histogram, the stochastic and the RSI vis-a-vis the index. VIX broke out of its bearish falling wedge at the end of the day.  The technical indicators are flashing negative — positive … continue reading →

A friend just tipped me to the fact that Elliott Wave International pronounced yesterday that 2011 and 2007 exhibit a “similar topping pattern.” OH!  MY!  GOSH! I only wish I had had this very valuable information when I posted back on May 31.  Oh, wait, I did.  When I made the exact same observation.  But … continue reading →

Dangerous Waters

UPDATE:  9:30 AM PDT Despite generally better than expected economic and earnings news this morning, we formed most of a Head and Shoulders pattern in the futures prior to the cash market opening.  I decided to wait and see how it played out before scaling back my shorts.  We have since completed it, and a … continue reading →