Buy and Sell Signals, Market Analysis, Money Flow, True Strength

Michael Pitre Has Had Over 50 Followers Rank: 23 Followers: 65 Votes: 100 Years Member: 9 Last Update: 22 October 2014, 13:07 Categories: Market Timing
ETFs
Swing Trading

etfmaintrends.com

Visit me at etfmaintrends.com....link on the left under my name

Tues. PM

Very strong follow through today for the SPX and Nasdaq and
QQQ. I still think this is most likely a counter trend rally in a downtrend.
Counter trend moves after very strong moves down are usually quite
strong on the upside. This counter move could last a while. We could
see more upside and then a move down followed by another move up.

So there is potential for an...abc... counter trend move up. We are in... a...up,
with...b... down and then...c...up still to come and finish the counter trend.

The main thing is to not chase here as once it turns down it can go down
fast. Then it can reverse and move higher before completing the counter
trend move.

This would then be followed by another strong move lower.
The thing to watch is the 200 day moving average. If after the counter
trend move looks to be completed and we drop below the 200 moving
average the market could be set for a hard down move. So I will be keying
in on this moving average. Trading here has to be nimble and quick as
we are moving in fast waves now with a lot of volatility. I am not buying into
any rally lasting a long time. Interesting to note is that the bottom fisher chart
which is chart 5 below is indicating that a bottom is not in. Just a note fyi.
This chart is not perfect but it has done a good job recently.

See the QQQ chart the 2nd chart below. It had a strong gap higher today
which was helped by the good report last night from Apple. Now it is nearing
resistance at the downtrend line and the horizontal lines. Let's see how these
lines do in terms of resistance. On balance volume is still not strong for QQQ
which is not helpful.

QQQ is leader on this up move and it was up 2.63% today. So let's see how this
resolves in the near term.

Less

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This chart almost had a triple moving average cross but it rebounded just in time.

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QQQ and the Nasdaq have been the leaders so far this year.

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I like to keep tabs on this chart for a number of reasons. I have included VIX and NY up down volume. Indicators rolling over.

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This chart is for help in finding market bottoms. It is not used for finding tops...just bottoms. It's done a good job over the last few years.

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! Nasdaq Composite ($COMPQ)

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