Replies to post #13055 on Profunds index and sector trading (PRO)

[otraque]

A lot of chatter going about regards the extraordinary event of P/C ratio remaining high as market has been going up.
Upshot is to draw NO conclusion--this is so rare one can not do so.
It could easily be bearish as the high P/C is now at this time CONTRARIAN to its CONTRARIAN rule:)

[Z-M-L]

Tonight’s Update will be brief. Various markets around the world are starting to give “confirmation” that the NEXT LEG of the DECLINE is underway. My work suggests that the NEXT LEG of the DECLINE is Wave 3 of C for the DJIA, SPX, NASDAQ, and NDX. In overnight trading the following markets provided “confirmation” that the NEXT LEG of their respective DECLINES is underway; they are the Hang Seng, FTSE, and STOXX 50. Also in today’s trading the NASDAQ “closed below” BOTH its 50-day MA and its 200-day MA. The SOX “closed below” its 50-day MA in today’s trading; and is well BELOW its 200-day MA.

In conclusion, the NEXT LEG of the DECLINE appears to be underway. The other Major Market Indices should SOON also confirm their respective DECLINES. Looking for the Wave 3 of C in the NDX to reach 993 into early to mid August.

I am keeping my STOP LOSS at 1508 in the NDX for now; I will be lowering my STOP LOSS over the coming weeks.

Currently, I have a position in the Rydex Venture (RYVNX) Fund, established on 04/12/04 at $24.92, within the Aggressive Portion of the portfolio; while the Conservative Portion of the portfolio has been in Cash or Cash equivalents since 01/02/04.