hier ein warhinweis, der durch die aktuelle marktsituation und die veränderung des index dow verursacht wurde nachzulesen unter
www.signalwatch.com/signalwatch/index.htm
Updated Tuesday, 10/26 for Wednesday's Market
Key DOW Levels for 10/27
UP Through 10,450
DN Current Trend
Warning! Warning!
We are BARELY perched above the next decision line at 10,300.
Yesterday, we said, "You don't often sit near two strong technical patterns without something happening - something dramatic." And, a dramatic thing happened - just not the one I was expecting.
The DOW is about to get some new buddies: MSFT, INTC, SBC, and HD. This is a momentous event in the history of this index. While the components of the S&P 500 can change almost weekly, the DOW has basically remained staid and true.
What does this mean? It appears that they (whoever "they" are) decided that they wanted the DOW to perform, so they added the stocks that have the best upside potential. Will this affect our analysis? I'm not sure. From today's price action, I would say - a little, but I think the basic technicals of this index will likely remain intact.
Take a look at that 60 Minute chart. We traded sideways all day (it really wanted to go up!) and then dropped at the end of the day. All I can say is, this is a big, big warning sign. If the DOW couldn't rally on this news, we could be in for big trouble tomorrow.
Technically speaking, we are now trading down, through the trendline in the 60 Minute Chart, and did NOT penetrate the upper trendline in the Daily Chart, which is now about about 10,450.
For tomorrow - WATCH THE OPEN. If it's really weak, that's the next great opportunity to go short. I am still looking for a downside correction to about 9,700, and possibly 9,300.
On the flip side, if it gets strength at the Open, I would expect a rally to the top of the channel, about 10,500. And, if that happens, we will have cleared the top of the trendline in the Daily Chart and should continue up.
I think we're going down, but you MUST watch what the market tells you (rather than listen to me or anybody else). If it's weak, that's your cue. If it rallies through resistance (10,450), that's cue #2. Either way, the event and day should be emminently tradeable.
Again, I can't overemphasize how important I believe this juncture to be. Stay on your toes tomorrow..
Thanks for listening, and Good Luck in Your Trading!
Ed Downs
ocjm fundamentalist und shorty
www.signalwatch.com/signalwatch/index.htm
Updated Tuesday, 10/26 for Wednesday's Market
Key DOW Levels for 10/27
UP Through 10,450
DN Current Trend
Warning! Warning!
We are BARELY perched above the next decision line at 10,300.
Yesterday, we said, "You don't often sit near two strong technical patterns without something happening - something dramatic." And, a dramatic thing happened - just not the one I was expecting.
The DOW is about to get some new buddies: MSFT, INTC, SBC, and HD. This is a momentous event in the history of this index. While the components of the S&P 500 can change almost weekly, the DOW has basically remained staid and true.
What does this mean? It appears that they (whoever "they" are) decided that they wanted the DOW to perform, so they added the stocks that have the best upside potential. Will this affect our analysis? I'm not sure. From today's price action, I would say - a little, but I think the basic technicals of this index will likely remain intact.
Take a look at that 60 Minute chart. We traded sideways all day (it really wanted to go up!) and then dropped at the end of the day. All I can say is, this is a big, big warning sign. If the DOW couldn't rally on this news, we could be in for big trouble tomorrow.
Technically speaking, we are now trading down, through the trendline in the 60 Minute Chart, and did NOT penetrate the upper trendline in the Daily Chart, which is now about about 10,450.
For tomorrow - WATCH THE OPEN. If it's really weak, that's the next great opportunity to go short. I am still looking for a downside correction to about 9,700, and possibly 9,300.
On the flip side, if it gets strength at the Open, I would expect a rally to the top of the channel, about 10,500. And, if that happens, we will have cleared the top of the trendline in the Daily Chart and should continue up.
I think we're going down, but you MUST watch what the market tells you (rather than listen to me or anybody else). If it's weak, that's your cue. If it rallies through resistance (10,450), that's cue #2. Either way, the event and day should be emminently tradeable.
Again, I can't overemphasize how important I believe this juncture to be. Stay on your toes tomorrow..
Thanks for listening, and Good Luck in Your Trading!
Ed Downs
ocjm fundamentalist und shorty
