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FinancialAdvisor

06/02/05 11:55 PM

#8572 RE: xe2dy #8566

*Thanks xe, that's very helpful, the key of all indicators is volume, if you go through all those charts and look at the recent rise, it does not correlate well with the volume, the volume for most if not all of those issues has decreased while the price has risen, to me this is bearish divergence...

I still stand firmly by my theory that the market will decline, I think a future test of the Nasdaq to 2,000 is inevitable, but at the same time, I wouldn't rule out the markets getting held up until the S&P 500 finds a new high, much like the tops from 2004, it went Nasdaq, Dow, then S&P 500... history may repeat itself, but that would be as far as it goes I believe. And if Nasdaq 2,000 winds up breaking, kiss this "bull" good-bye!


USPIX vs. VIX below... (note: strong correlation):