Advanced Technical Analysis - S&P
Note: the following analysis is formulated as an assimilation of Fibonacci, DeMark, Elliott Wave and other technical indicators. It is offered as education and not intended as advice in any way.
In this AM's buzz I noted "how overlapped price peaks and troughs are from the lows registered on the 28th." Below is the chart I was referring to when I made that observation. The reason I am illustrating it in a chart is principally because of the interesting phi relationship that exists between (1) the bounce from Feb 22nd to Feb 25th and (2) the bounce from Feb 28th to yesterday's March 2nd peaks.
The second bounce is almost an exact 0.618 times the distance of the first bounce (0.623). There are a number of implications that result from this phi relationship (and from the channel lines and the pattern off the Feb 22nd lows), most of them ultimately bearish. But, like my proselytizing about efficient market hypothesis yesterday, I think seeing these types of relationships in real time will help readers come to appreciate that markets may not be what they seem.
Not intended as advice
n on this website solely reflects the analysis of or opinion about the perf=
ormance of securities and financial markets by the writers whose articles a=
ppear on the site. The views expressed by the writers are not necessarily t=
he views of Minyanville Media, Inc. or members of its management. Nothing c=
ontained on the website is intended to constitute a recommendation or advic=
e addressed to an individual investor or category of investors to purchase,=
sell or hold any security, or to take any action with respect to the prosp=
ective movement of the securities markets or to solicit the purchase or sal=
e of any security. Any investment decisions must be made by the reader eith=
er individually or in consultation with his or her investment professional.=
Minyanville writers and staff may trade or hold positions in securities th=
at are discussed in articles appearing on the website. Writers of articles =
are required to disclose whether they have a position in any stock or fund =
discussed in an article, but are not permitted to disclose the size or dire=
ction of the position. Nothing on this website is intended to solicit busin=
ess of any kind for a writer's business or fund. Minyanville management=
and staff as well as contributing writers will not respond to emails or ot=
her communications requesting investment advice.
Copyright 2011 Minyanville Media, Inc. All Rights Reserved.<= /p>
Daily Recap Newsletter