Monday, July 19, 2010

7/19 11:45

The SP and DJ futures turned in a 5-wave up to this morning's high.  Then both cash and futures declined marginally below Friday's low before rebounding in a smaller-degree 5-wave up.  This is bullish behavior.
The longs have been methodically thinned out Friday, then again with the new low.  I still trust I1 and am remaining long against DJI 10,060 being broken.

2 comments:

  1. Steve

    Unless we break trend we should close some where between 10100 and 10000, and if we are finishing a small corrective wave right now we could finish down around the 10000 area, 1st wave of a new 5 wave down?

    Jack C

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  2. Hi Jack,
    I see a rectangle from Friday afternoon. I'm waiting on a short-term support break at 10100 DJ futures to clear out of the rest of my longs. I'm taking a trade on short futures but this is short-term. Unfortunately, I can't short in volume until I1 peaks.

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