No replies to this topic

[OEXCHAOS]

The Wall St. Sentiment Survey showed an even split. That's often a sign of a turn. This one is tricky, though. Are we actually in a down trend? I'm thinking that we rally into a top Tuesday or perhaps Wednesday. Today, however, calls that into question.

This from the ISA Weekly (still only $99/year)...

Conclusion
Last time, we said that our MACD Buy was an odds on Sell and thus far, we've been right. The big worries for me now are the AAII Bullishness and the large S&P 500 P/C ratio. That's not a bullish sign. Of course, there's not much weakness in this market. We can't get too Beared up just yet. Breadth is beginning to turn, but it's not moving very quickly. My thinking here is that we have a more significant correction coming, but it's not going to be easy to play. My guess for the week is that we seen a bounce early, but that whatever top we make will be followed by more significant selling. I'm thinking that we've pretty well gotten the Bulls trained to buy dips and for the Bears to quickly cover shorts. The message board polls seem to support that. That means that there may be a trap for the Bulls that will be sprung this week. We'll have to see. My call? Up on Monday and chopping into Tuesday or Wednesday, and down thereafter. No matter what, I'm looking for some more selling this week. Continue to watch volume short-term and breadth longer-term for clue as to the seriousness of any weakness.