Tuesday, June 21, 2011

6/21 12:45

The DJI critical M/A was broken on the upside this morning, confirming the multi-day continuation of this rally.  Just a few days ago, the traders' sites were full of people chomping at the bit for a crash.  I1 predicted this rally and allowed me to get to cash at the bottom. 
I took a trade this morning right at the edge of the DJI critical M/A envelope and exited when the envelope was exceeded and the prior sell signal in force since May 5 was negated.  Now I look for daily M/As on the upside to use in conjuction with I1.  SPX 1309.70, the 30-day M/A and DJI 12,396, the 50-day M/A.


Meanwhile, due to the "risk-on" environment, the dollar has declined to hourly M/A support from which I expect a recovery to sell into.
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1 comment:

  1. AnonymousJune 21, 2011 at 3:13 PM

    Steve
    I've got what looks like a clear 5 down in the RUT futures,can you take a look at it a tell me what you think.

    Jack C

    ReplyDelete

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