Pascal
02-26-2013, 01:32 PM
After a very negative MF, we need to expect a bounce, but since we are in a short mode, we also need to look at shorting bounces.
The first clues that a bounce will fail can be found when we see buyers being absent when the S&P500 makes a new high.
We can see below that we now have a positive divergence: a S&P500 does not attract more selling. This means that building a short position here is not advised. The situation can of course be different in the afternoon or tomorrow.
Pascal
17456
The first clues that a bounce will fail can be found when we see buyers being absent when the S&P500 makes a new high.
We can see below that we now have a positive divergence: a S&P500 does not attract more selling. This means that building a short position here is not advised. The situation can of course be different in the afternoon or tomorrow.
Pascal
17456