Replies to post #2290 on Pennies from Heaven

[xZx]

$INDU annotated ~~~>

here's a version with bb, accum/dist, and force(30).

the longer period on force seems to smooth out a lot of noise. notice how the valleys are *leading indicators*..? they dip and bounce before the bottom is reached, but in every case the dip that followed on price action was a strong buy signal.

i'm going to be following this in the days ahead to gauge the bottom of the next pullback.

note also the LOWER HIGHS that have always telegraphed a drop. this force indicator suggests to me we're ready for another leg down within the week. jmho.

[RonnieD]

the major charts are likely forming the tip of an umbrella top and some have just started to roll off the other side.

See Art Cashin's latest from yesterday. He mentions the umbrella.

http://www.cnbc.com/id/30366884

Also: Chart Patter Trader video; he's big on FAZ TA.

http://thechartpatterntrader.com/

[Pennyland]

$COMPQ 4/2/09 update