my thoughts and suggestions from the chart from March 8th are below todays chart update .. at the bottom.
todays chart is left clean for comparisons i suggest you look it over as we did indeed Dropped Down quickly to that 100 BTM level circled on the March 7th chart.
also, reviewing my notes i wanted to remind myself and others. . . of something i said we should be looking for (although we wrote it down) after we get past 100 and since we are currently @ 48 .. which was..
...as we can see with this indicators history it likes to put in bottom at one of two different buy zones. it will either bottom at a major low range down at -460 to -241 (no annotations) ..or..
it will bottom at the average low range of -124 to -90 !
i do have a 24 support area boxed... but you can also see the -91 area boxed and then a couple of price flags below sits the -124 & -128 levels. (sorry no annotation) but that is our first zone im expecting a Buy Signal
Enjoy the Chart
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Annotations Below FROM March 8th 2014
LINK <a href="http://www.traders-talk.com/mb2/index.php?act=Post&CODE=02&f=2&t=153032&qpid=687629" target="_blank">http://www.traders-talk.com/mb2/index.php?...amp;qpid=687629</a>
here is a WEEKLY chart (sorry so messy) i quickly drew up on the topic of NH vs NL (related) ..i will try and post another on lower adv vol ..but could use your help..
finding and posting any on the topic.
we can see NYHL is turning down from 530 NOW .. which is much lower than last year's higher divergence from 824 to 730 (drawn as Point of Focus)
which it made in a similar move in early 2013 ! after the divergence from the lower high @ 730 from 878...the NYHL simply shot straight down where it bottomed at 101. (circled red)
as we can see with this indicators history it likes to put in bottom at one of two different buy zones. it will either bottom at a major low range down at -460 to -241 (no annotations) ..or..
it will bottom at the average low range of -124 to -90 !
for you Technical Types write that down as a rule and dont overlook this in the future for helping you to Buy those Dips.
also we see the UPPER RSI oscillator is heading down and is on a similar SELL SIGNAL and based on its history is not likely to turn back into a BUY signal until it comes ..
down to the lower quadrant on the chart.. and turns back up to break that 20 line. .. so it has a long way to go just to get down there.
finally of major concern is our current 5-6 month divergent top .. is showing an even wider spread than the one from 2012 -2013 in relation to where its turning down from .
my reason for concern here is based again on the history of the chart that shows when the NYHL turns down from a lower level (divergence) it seeks a lower level to bottom out)
just view a few of the divergence tops in 2011 that spiked to the low of -458 or early 2012 that spike down to -124.
so although i've noted two areas on the chart that could be expected to match up for a possible low area for the NYHL (labeled AFTER BTM) circled at -100 the NYHL's next bottom is more
likely to drop into the -125 area...if not lower .. .into the next lower range of -240 !
so this MASSIVE DIVERGENCE of the internals for the NYSE .. (and NASDAQ looks just as bad).. relative to the price action of the SPX/ DOW/ and NASDAQ indexes all posting highs
is technically foretelling of what is to come.
ENJOY
Edited by Mr Dev, 14 March 2014 - 01:00 PM.
