bear mode

No change from Friday...still holding short via SDS, UYG. We are not at any kind of acceleration phase in a down yet. Still in the uptrend, and internals have lost momentum and rolled over, but have not broken anything crutial ( McOsc still above 0). Mkt broke up thru SPX 1400 and is pinned under the 200D. P/C ratios are showing optimism and are usually first to show warning flags. Bottom line = pullback in an uptrend so far, and waiting to see if its gonna develop into more.

I'd like to see a red brick in here, before I heed the bear's growl.
Could happen soon - won't take a whole lot lower to do it.

http://stockcharts.com/c-sc/sc?s=$SPX&p=D&yr=0&mn=4&dy=0&i=p09234912662&a=138430684&r=7117.png

interesting chart selecto..thanks

Thank you. I'm just learning my way with those Renko charts. You can tune the brick size, which I like. That is set to 10 points (9.95) so we don't see the red brick until under 1400.

Edited by selecto, 05 May 2008 - 01:16 PM.

have you found that to work on stks? or better on indices?

Don't trade stocks. But Renko is entirely price based, so if you are a momentum trader, price is price is price.

One may watch for chart pattern!
spx
http://stockcharts.com/h-sc/ui?s=$SPX...id=p03370190848

spy
http://stockcharts.c...id=p03370190848

I'd like to see a red brick in here, before I heed the bear's growl.
Could happen soon - won't take a whole lot lower to do it.

http://stockcharts.com/c-sc/sc?s=$SPX&p=D&yr=0&mn=4&dy=0&i=p09234912662&a=138430684&r=7117.png

That is set to 10 points (9.95) so we don't see the red brick until under 1400.

A new brick is put after an ATR move here, so 1400-10 = 1390. You need a 20 points drop to call it a reversal by using Renko...

Yes. Calculation Renko charts are always based on closing prices. You specify a "box size" which determines the minimum price change to display. To draw Renko bricks, today's close is compared with the high and low of the previous brick (white or black): If the closing price rises above the top of the previous brick by at least the box size, one or more white bricks are drawn in new columns. The height of the bricks is always equal to the box size. If the closing price falls below the bottom of the previous brick by at least the box size, one or more black bricks are drawn in new columns. Again, the height of the bricks is always equal to the box size. If prices move more than the box size, but not enough to create two bricks, only one brick is drawn. For example, in a two-unit Renko chart, if the prices move from 100 to 103, only one white brick is drawn from 100 to 102. The rest of the move, from 102 to 103, is not shown on the Renko chart