Friday, June 10, 2011

6/10 11:05

The SP futures 30-minute M/A cracked.  I'm still holding short stock mutual funds.  Analyzing the short-term timing component, the 8-day lead may still exist.  The cycle low in late May looked on the money, but the last 2 cycles fit best with an 8-day lead.  If the current cycle has an 8-day lead then Monday would mark the low.  This fits best with the technical composite buy signal for a multi-day rally.

The dollar is inversely related to the stock market.  DX futures came up to an important hourly M/A and I sold.  The envelope is .5%, which projects to 74.87.  The high on the rally is 74.81.  The dollar retracing would provide support for the stock market.

1 comment:

  1. Steve,

    Could you explain in more detail what constitutes
    a "technical composite buy signal", in the face of the decline that I1 expects into August. I'm trying to understand. Thanks!