Price would be ABOVE (not below as now) the 13 month MA which in turn would be RISING (not falling as now). Regards, D
bears: if this really WAS the start of a bull market what would be different?
That's where your 7 sentinnels pay of. In this case the indexes are so far below the 13 month ema that should we see a u shaped recovery and a cyclical bull one would miss 1/3 to half of it IMO. This decline was truly monumental. I think most are looking for some sort of major retrace down at minimum...me included. The thing is, the market is going up. I'm still buying more longs in individual equities with nice charts and doing some shorting and put buying on the side (insurance is getting cheaper with delining volatility).
Count me as one whe thinks a declining VIX is mildly bullish longer term...not to mention LIBOR.