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DJIA update 11/05/03


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#1 btreehouse

btreehouse

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Posted 05 November 2003 - 07:22 PM

As shown below on the chart, the system went on a buy at the close of 11/05/03. From the previous update of 11/03/03, the system was flat with no buy or sell.

I noticed something peculiar that I thought I would look into regarding my indicators. What I specifically saw was even though the indicator is on a buy, all three indicators declined with Wednesday's action. So I went over my database and concluded that when this happened, the market was choppy and did not stray very far in either direction (more 350 points) over the next 8 trading days or so.

Posted Image

This may be significant as you view a 15 minute chart of the DJIA below. The overlapping structure indicates to me that it is likely a major top in the DJIA is not yet in.

Posted Image

So today, I have elected to suggest a more intermediate view (opinion) of the DJIA as shown below. The charts are actually from yesterday. I was going to make a post yesterday but didn't have the time. So price data on the chart below ends 11/04/03.

Posted Image

Also notice the McC Osc (bottom chart above) is slowly narrowing. as we get closer to some sort of apex, the DJIA (and other indexes such as the S&P) should break out into the next major swing. Which way? My bet is still down but my opinion is that the swing is still days off.

So as of today, based off of historical data an the price structure of price, no trade is being taken. I think it is very likely the DJIA will continue to bounce up and down, mostly contained with in the green trendlines of the intermediate weekly and daily charts of the DJIA above.

Good luck,