Mon, 06/20/2011 - 06:21
#1
Market bounce is around the corner.
Thu, 06/23/2011 - 18:25
#3
The shake out was quite significant.
Today we saw DOW open down for 180+ points, as the model shows the trend changing still in place. The shake out was quite significant to shake out longs just added couple days ago. I would call it a shake out instead of a down trend resume, well given that the model still shows the trend is heading north.
Here is the chart to show how I made that statement. As the black bar shows on Jun 20, 2011 and turning into a red bar the next day, which translates to a reverse trend is right at the corner. Actually the bounce was quite significant to shake out the shorts to cover which made the bounce even more powerful. Also Fed chairman Ben's talking about possibly a QE3 may come to spoil the market on a hyping tone and the rally quickly reverse again after my prediction of a 1-2 weeks rally.