Sunday, October 26, 2008 12:48:54 AM
DOW Daily and Weekly Charts~
I'm not going to try to predict what will happen next week. The Indicators on these two charts are way more Bearish than Bullish, but every time I've tried to guess what move comes next I get a surprise (especially with candlestick analysis).
There's a lot of talk from the old timer floor traders that "if Friday had been a day of complete capitulation that successfully tested the Oct. 10th intraday low, we could have seen a rally beginning Monday that would have been talked about for decades". Art Cashin said that.
Maybe he has seen things like this before in his 35+ years of being on the floor of the NYSE, but I think this Bear market is like no other before it.
He was disappointed the Dow didn't go test the Oct. 10th intraday lows with super high volume. Sure he was disappointed. He wanted to load up way down there, with a clear stop loss exit point if it ever breached below the Oct. 10th intraday low.
What reasons could get this market to rally like that? I don't see any. Do you? If you read the news article I posted just before this one, it's getting pretty scary out there these days and the light at the end of the tunnel can't even be seen yet IMO.
The RSI on the daily chart isn't below 30 where buyers usually step in, and Stochastics show that it's still headed down and not even in oversold territory below 20.
I wish the market would go up next week. I'm getting tired of hedging our long-term-hold dividend-paying positions every time the market feels like jumping off a cliff. Dad has owned these stocks since the early 1960's and we aren't about to part ways with them.
I'm not going to try to predict what will happen next week. The Indicators on these two charts are way more Bearish than Bullish, but every time I've tried to guess what move comes next I get a surprise (especially with candlestick analysis).
There's a lot of talk from the old timer floor traders that "if Friday had been a day of complete capitulation that successfully tested the Oct. 10th intraday low, we could have seen a rally beginning Monday that would have been talked about for decades". Art Cashin said that.
Maybe he has seen things like this before in his 35+ years of being on the floor of the NYSE, but I think this Bear market is like no other before it.
He was disappointed the Dow didn't go test the Oct. 10th intraday lows with super high volume. Sure he was disappointed. He wanted to load up way down there, with a clear stop loss exit point if it ever breached below the Oct. 10th intraday low.
What reasons could get this market to rally like that? I don't see any. Do you? If you read the news article I posted just before this one, it's getting pretty scary out there these days and the light at the end of the tunnel can't even be seen yet IMO.
The RSI on the daily chart isn't below 30 where buyers usually step in, and Stochastics show that it's still headed down and not even in oversold territory below 20.
I wish the market would go up next week. I'm getting tired of hedging our long-term-hold dividend-paying positions every time the market feels like jumping off a cliff. Dad has owned these stocks since the early 1960's and we aren't about to part ways with them.
.....Smoke 'em!.....
Join the InvestorsHub Community
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
