Replies to post #27733 on Zeev's Turnips Patch-No Politics (ZEEV)

[ajtj99]

wahz, look at this chart of the NASI.

http://stockcharts.com/def/servlet/SC.web?c=$nasi,uu[w,a]daclyyay[df][pc20!b50!a-1000!a-1250][vc60]<...

Notice where the 50-SMA is - at -837. This indicator usually bounces at the place where I've drawn the horizontal lines (-1000, -1250).

As you can see, the 50SMA will not be much of an early warning sign, and the price action could well have already dropped a good 50-75% of the eventual drop by the time it is hit.

Note the trendline that stopped turned the index back down.

Note the rising support on the chart also. That could be a target for the next low.