Today was extremely bearish with 98.2% of today’s volume on the downside. However something very strange happened with some of my proprietary indicators that caused me to move to the sideline after the market close. It wasn’t a buy signal exactly, but it was an exit your short positions signal.
There…are you confused yet? Believe me, it surprised me because I thought with the severity of the selling my indicators would have deteriorated.

The bottom line for me is that I was happy how I’ve played the last 6 weeks and I didn’t want to be greedy. If you listened to me for that period you would have either been on the sideline or short, starting right at the end of April, and I feel that alone offered tons of value to all of you.

Should anything change on Monday I’ll keep you posted. Right now I’m officially on the sidelines, and completely zen…

clipped from www.market-harmonics.com

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One Response to “Downside Day”

  1. Merc Says:

    As long as 1040 holds on the S&P, you have to assume we will try to rally again. That's my thinking anyway.

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