Direxion 3X Russell Funds (TNA)

[dalcindo]

Re: SPX, NAAD, NAHL Charts:

Hi, 3x!!!

Good to get back at it with you.

I have updated the SPX chart by removing the recent (faked) "Max Expansion" off of the chart. A new high has been reached today, but I believe that the market is reaching temporary heights prior to some renewed retracement, IMHO.

First, the SPX chart itself shows that the "economic recovery" did happen "on paper", but as we enter a new decade, artificial economic stimili have been tapped out, and as of late, housing concerns are resurfacing.

Other indirect signs that the markets are likely to retrace may be discerned in the Nasdaq advancing/declining's (NAAD) and Nasdaq New High/Low's (NAHL) chart below: While NAHL is testing its overhead resistance and NAAD is dipping into the extremes of 1500-1750 area, RSI remains uncommitted to break over its long-term resistance line. Until then, the market will remain biasly bearish in my eyes, despite the great strides achieved over the past months, which I consider artificial until the recovery proves able to develop in an economy free of the kinds of incentives and interventions seen over that so called period of recovery, IMHO.

$SPX : Direxion ETFs Relative Strength - 9-Month, Daily Chart:



$NAHL & $NAAD - 12-Month, Daily Chart: