Friday the market made its 5th higher high in a row. Below is a table showing how the market reacts to at least 5 higher highs and a 50-day high:
This study suggests limited upside and a good chance of sideways chop over the next 1-20 days.
The VIX system oulined in Thursday's blog would have triggered a short index entry Friday at the close.
I'm having a hard time finding anything suggesting prices are likely to continue higher.
Not if oil keeps going up... rally supported by energy and material sector... so either those pull back or market keeps going on higher...
ReplyDeletewith volume so low the bulls should try to blast to SPX 1450 by the close...TRIN TRINQ in trend day mode supports the bull case...full moon tonite, known for turns in anything that trades...the posts here last week didn't pan out, and that is because in op-ex week the analysis should only compare to other op-ex weeks
ReplyDeletelook at the top performers -- every day the quality declines...
ReplyDeletePEIX leading on Monday.
PEIX? that is not what is going to lead this market higher -- not a chance
similar to blow off tops. The last dregs get pulled up -- and you know bulls are "all in" if they're pushing ethanol losers. We shall see -- I think you've got to be patient with Ben changing all the rules every week.
Really enjoyin this site since I discoverd it not too long ago. Thanks for making readers' lives easier by doing the "hard work". Much appreciated.
ReplyDelete