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Seven Sentinels Sell Signal


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#11 rkd80

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Posted 12 May 2009 - 06:58 PM

Charles, Pardon the ignorance, but how many this. days does each index require in order to trigger a sell?
“be right and sit tight”

#12 Echo

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Posted 12 May 2009 - 07:20 PM

4 + 1 = 5

#13 tommyt

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Posted 12 May 2009 - 08:10 PM

4 + 1 = 5



I rec'd a couple of different sells on the mkt today as well, one of which is an odd one of my own. As my daily indicators start to lose steam and look toppy it goes like this:

- VIX down
- mkt down (SPX)
- at the money puts down

= sell

shows complacency. I used this when I was a floor trader, and it now means to sell rallies. Nothing exact about it, just works enough to use.

#14 rkd80

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Posted 12 May 2009 - 08:25 PM

4 + 1 = 5



I rec'd a couple of different sells on the mkt today as well, one of which is an odd one of my own. As my daily indicators start to lose steam and look toppy it goes like this:

- VIX down
- mkt down (SPX)
- at the money puts down

= sell

shows complacency. I used this when I was a floor trader, and it now means to sell rallies. Nothing exact about it, just works enough to use.


tommy, i actually see some people using today's vix down as a bullish reason to go long!!

and echo, grow the hell up.
“be right and sit tight”

#15 tuffy88

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Posted 12 May 2009 - 08:34 PM

Echo is right. 5 distribution days on any major index within 4 weeks means the market is in trouble. IBD does not always call the market's confirmed rally over after 5 distribution days. The 5th one would have to be a clear & decisive one. That is heavy volume greater than the previous day's in a sharp down move. As the 4th one on the Nasdaq today was. Charles

Edited by tuffy88, 12 May 2009 - 08:36 PM.


#16 rkd80

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Posted 12 May 2009 - 08:49 PM

Charles please do not feed the trolls. So, ANY index that gets 5 distribution days is the signal, I inferred from what you wrote that you were running tallies on all of them and was confused. Thanks for clarifying.
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#17 thespookyone

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Posted 12 May 2009 - 09:27 PM

Don-Just looked at the internals on the NDX-all I can say is OUCH, and WOW!

#18 redfoliage2

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Posted 12 May 2009 - 09:28 PM

No doubt.

#19 humble1

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Posted 12 May 2009 - 10:22 PM

very nice swing trade, IYB: from 3/10 through 5/12, quite a hunk of spx points!

#20 Echo

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Posted 12 May 2009 - 10:25 PM

rkd, please accept my apology, no this intended. My post was intended to be humorous as well as an answer to your question. After Charles had pretty much laid it out for the various indexes, I hope you understand. The little guy on my left shoulder told me you wouldn't be happy so I almost held off, but the little guy on my right shoulder couldn't stop laughing. So I bit my lip and posted it. If you go back and read the thread, hope you can laugh a bit in the end too. By the way, Hurst 10 wk low is due by Friday-Monday +/- a day, so a quick brisk drop with the SSSS would satisfy both. Echo