Saturday, 7 January 2012

SPY

Interesting that the SPY printed a doji as well as the AUD.

3 comments:

  1. Similar Doji coming out of the 2010 IHS too and the market ripped higher. Everyone is forcing a negative outcome and a bearish view. Be careful. SPY took out the neck line of the big H&S and now has broken and found support from the IHS neckline. Might head lower but the amazing one sided bearishness by every technician on the blogs is a very bullish sign.

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  2. Not sure every technician is bearish but hey.I didn't get my sell signal on the Dow yet(see earlier post and the doji is not itself a sell signal.However I did get some sell signals in Europe (eg the morning star reversal on the Eurostoxx) and I think risk currencies are bearish.

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  3. Also from a Gann point of view,the 3 months down,3 months up cycle has potential for a reversal of some sort,especially as this larger 6 month cycle is a 50% time retracement of |July 20120-July 2011 rally...."wheels within wheels" as it were. Cycles always have to be confirmed by pattern...weekly doji is a start that needs confirmation next week

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