Down Trend Ahead?
Powerful moves could define the day.
- A 10 minute chart from my Trading Report shows short term support at approximately 970.
Click to enlarge
Just below 970, the bottom of an hourly triangle at 960 would be broken, triggering a Triangle Pendulum Sell Signal (a break one way through a triangle and an ensuing break in short order to the other side of the triangle). These are often times powerful moves. If 960 is broken in the first hour and we see a meager backtest toward 970, heads up, as an early break of the hourly triangle today could imply a trend day down. After all, would that be so odd in this alternating frequency of one day to the next that avoids follow through at all costs?
- Memory check: Tracinda is selling a slug of Ford (F) shares here in the $2 range after purchasing them in the 8's. Lots of people have done that, but what are the implications? What did K-man see at 8 that he doesn't see at 2?
- Remember when there was a "rumor" that Tracinda was going to make a run for MGM Mirage (MGM)? That put in the highs.
- Remember the secondary on Wynn Resorts (WYNN) near the highs by Steve "Big Stevie Wonder" Wynn? As they say, timing is everything.
- It will be interesting to see what news comes out of the approaching summit of finance ministers and how it affects the US market and the dollar. Will there be an agenda by other finance ministers and nations to have their pound of flesh since the 'financial outbreak' started in the US?
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