Direxion 3X Russell Funds (TNA)

[dalcindo]

Re: Direxion's ETFs - Ready to roll ... Over?

While the ECM worked well to indicate a MAX contraction and anticipate a rally (which I was forcefully neglecting against my own ECM rules!), now comes a point where a MAX Expansion (a presage for decline) seems to be forming: All relative strength lines reached a new high, MACD is nearing a reversal, and a reversal candle points to some serious difficulty for this index (as well as for other major indices for that matter - See charts #2 and 3 here: http://stockcharts.com/def/servlet/Favorites.CServlet?obj=ID2140281 ) to rally above this level.

Although it may be too early to tell right now, MACD will likely confirm any bearish reversal if and once it violates its trendline, IMHO:

Direxion ETFs: Expressed In Relative Strength Against $SPX:


D.