We will start with a view of the hourly chart for the Dow. All indicators are pointed down for the hourly Dow. Price at this point looks to have a ceiling of around 9,600.
Money flow (blue line with price) has cycled back to the top. The price indicator (green line) is pointed down, the tick data looks weak and the bottom two indicators on the chart are peaking or have peaked. We could see some further price appreciation here ... its all going to depend on the dollar. I believe we are at a major intersection. All depends on the dollar. If you have the stomach to short ... I think now is the time but give yourself some room on your stop ... we may see some price movement upwards over the next few days. Friday we had a 59% up volume day and believe or not ... we did have a cash outflow (basically the market was mixed). If you are looking to short the market you can try using TZA, QID or SDS. All are very liquid ETF's. Currently, I do not hold any positions with these ETF's.
What is the dollar going to do next? Is it building a base?
Junk debt looks to be running into some exhaustion on its move up. Money flow and price is waning in strength. Could the divergence in price be a warning sign for us? The primary trend indicator is down (green line with price).
I looked back over the last ten years on this chart and we are at its highest measure for percentage bullish on the NYSE. It closed at over 80% on Friday and it did not close over this mark in 1999, early 2000, 2004 or 2007 bull market years. EVERYONE is BULLISH. This is going to be interesting on how this is going to work itself out.
We will start with a view of the hourly chart for the Dow. All indicators are pointed down for the hourly Dow. Price at this point looks to have a ceiling of around 9,600.
Money flow (blue line with price) has cycled back to the top. The price indicator (green line) is pointed down, the tick data looks weak and the bottom two indicators on the chart are peaking or have peaked. We could see some further price appreciation here ... its all going to depend on the dollar. I believe we are at a major intersection. All depends on the dollar. If you have the stomach to short ... I think now is the time but give yourself some room on your stop ... we may see some price movement upwards over the next few days. Friday we had a 59% up volume day and believe or not ... we did have a cash outflow (basically the market was mixed). If you are looking to short the market you can try using TZA, QID or SDS. All are very liquid ETF's. Currently, I do not hold any positions with these ETF's.
What is the dollar going to do next? Is it building a base?
Junk debt looks to be running into some exhaustion on its move up. Money flow and price is waning in strength. Could the divergence in price be a warning sign for us? The primary trend indicator is down (green line with price).
I looked back over the last ten years on this chart and we are at its highest measure for percentage bullish on the NYSE. It closed at over 80% on Friday and it did not close over this mark in 1999, early 2000, 2004 or 2007 bull market years. EVERYONE is BULLISH. This is going to be interesting on how this is going to work itself out. 
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