Friday, May 18, 2012 5:12:43 PM
For Friday, I'd have to interpret the signal as CAUTION, though still on a SELL. How's that? The signal does not turn on a dime. It is designed to catch the "meat" of most moves.
If NDX, INDU and SPX were to get down to their 200 day MAs I'd be confident of a good sized relief rally. Those three are sitting within spitting distance of their 200 day MAs. NYA has already breached its 200 day MA and so has RUT, though just today.
The market is very oversold by some metrics. For example, the $NDXA50R and $SPXA50R (percent of stocks in the index above the 50 day MA) are both below 20, levels from which strong rallies have started. Though they of course can go lower.
If NDX, INDU and SPX were to get down to their 200 day MAs I'd be confident of a good sized relief rally. Those three are sitting within spitting distance of their 200 day MAs. NYA has already breached its 200 day MA and so has RUT, though just today.
The market is very oversold by some metrics. For example, the $NDXA50R and $SPXA50R (percent of stocks in the index above the 50 day MA) are both below 20, levels from which strong rallies have started. Though they of course can go lower.
There never was a moment, and never will be, when we are without the power to alter our destiny. This second, we can turn the tables on Resistance. This second, we can sit down and do our work.
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