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[LeroyB3]

Since I opened my big mouth last weekend with some analysis of the below chart...I guess I should update it. As you can see there are now only 30 stocks that are oversold and 46 that are now overbought according to my indicators. You can kind of think of the level of stocks oversold as "fuel" for the market (or at least some sort of floor). Now it appears that most of the fuel is out of the tank and the ending Wave C can now commence sometime this week. I don't think we have hit a bottom yet because if you look at the Oversold indicator, anytime there has been a spike to around the 300 level it has meant that we were in the middle of an A-B-C down move with one more leg down to go. Looking for Wave C to end around the 1340-1344 region. Then it's on to new highs!


(Click Image for Larger Version)

Best,

LB