Technimental’s Doug Lomma notes that the weakened internal picture and various broken support
levels on the major indices makes it hard, even with present oversold
conditions, for the markets to make major headway. The length of the current
rally suggest the neutral shift most likely will play out with a deeper
correction, after we finish this oversold bounce.

Nasdaq 3 Year Chart
click for larger graph


Source: Redwood

NASDAQ has broken an uptrend line (red line) and still
remains below a downtrend (green line) and resistance (blue line) – So although
oversold it will take a good move above 2,000 on better internals and volume to
make this more than a bounce.


Random Items:

‘Hitchhiker’s Guide’ to asset allocation

The Perfect Storm That Could Drown the Economy

“I Want My Safety Net”

Why Taiwan Matters

Tug of War: Intelligence vs. Politics

What the “long tail” means for the economics of e-commerce


Quote of the Day:
"Become more humble as the Market goes your way."
~ Bernard Baruch

Category: Markets

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

Comments are closed.