I’m not sure if today’s rally was the start of a meaningful trend, but there are a lot of positives to take away from today.

  • Breakout of the wedge on the Dow.
  • Accumulation as seen in the upside/downside table below. 90% plus upside days on all three indexes.
It’s even possible that my market timing signal could turn bullish tomorrow if we see enough strength. If you want to be notified as soon as it turns be sure to sign up for my free newsletter as timing is often critical when it does give a change in direction.
Given that I’m short I’ll wait until it flips before covering my shorts that I opened on Friday, as I want to avoid getting shaken out of my positions even though everything looks like the markets want to rise. I’ve learned that my opinion of what the market is going to do is often wrong.

We’ve seen a stable uptrend that has provided support on the Put Call Ratio and if it holds again that may be the area where this rally fades. That would likely mean we see a continuation rally tomorrow as volatility is leaving the markets right now.

 

3 Responses to “Today Was a Win For The Bulls”

  1. Lioncub Says:

    Tomorrow is not looking so good as today.
    Wednesday is definitely not looking good.. thursday is ok ok and friday is looking good for markets. Following monday 5th sep, we may see some reds on the indices, at least in the first half.

    A good technical trader like you say that your opinion was often wrong, how about others? (including myself) Of course, how ‘often’ does your ‘often’ means, needs to be given a thought 😉

  2. jeff pierce Says:

    When I go against my system because I think the market is going to do something I’m almost always wrong.

  3. andre Says:

    Please refer to the volume bars Jeff. Looks exactly the same as the last rally attempt. Each day prices move largely higher yet volume is diverging BIG time! Then down we went. Today is the defining moment, well see?

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