5 replies to this topic

[.Blizzard]

Both ..the Bullish% index and NYSI are still overbought...

If we break down below 1403, 1325 is the next stop

THE BEST BUY OPPORTUNITIES IN THE PAST...WHEN WE HAD: NYSI at -500 and BPSPX at 50

http://stockcharts.com/c-sc/sc?s=$SPX&p=W&b=5&g=0&i=p35108920834&r=9788.png

Edited by .Blizzard, 30 March 2007 - 11:21 AM.

[Frac_Man]

Not sure if I would be a buyer at 1325 next week

we'll see

Both ..the Bullish% index and NYSI are still overbought...

If we break down below 1403, 1325 is the next stop

THE BEST BUY OPPORTUNITIES IN THE PAST...WHEN WE HAD: NYSI at -500 and BPSPX at 50

http://stockcharts.com/c-sc/sc?s=$SPX&p=W&b=5&g=0&i=p35108920834&r=9788.png

[Woody]

You will notice on all prior drops in the BP Index there was a negative divergence with price...not so this time around..not sure how significant tho......generally agree with more weakness but 1325 seems pretty low, I think we have already made our internal low re daily MCO.

[The End]

Not sure if I would be a buyer at 1325 next week Hank, If you are predicting a drop below there next week, you are predicting the biggest drop in a week since 9-11-2001. FWIW.

[arbman]

This is at the recognition wave, this is not a wave-C, this is the third wave down. The wave 1-2 are forming for the early April, then it will go down for the rest of April until early May rapidly.

The 1st wave was very deep on the Feb 27th decline, it means the wave-4 will be flat --the bounce from 10 wk cycle low. The breath is the reason there was a snapback, the divergence here doesn't mean anything since the leadership is totally wrong. The wave-5 will be the 20 wk cycle low around the middle of summer...

If I had to throw targets, I would say 1200 is a good one for the final low, 1300 or so for May. If 1300s are broken by May, it is a bear market. If 1200s are broken, it is probably a severe recession...

Yes, I just called a 18% decline for 2007. How else, the Fed can lower the rates? How else the dollar can gain some traction? How else the housing bubble could be saved? How else the lending standards can be relaxed again?

- kisa

[arbman]

I was earlier trying to time this rally where the energy and utils retreat and the natural reaction of the other sectors rally. It came today, possibly it can go on a little on Monday or even Tuesday, but I strongly doubt that the market will continue to rally without the resource stocks, if the market exhibits a weak rally without the leadership of the energy and utils from here, it will come down quickly, not go up in the IT sense, I predict this outcome. It happened the same before in 2005 and 2006, these are the last places the excess liquidity will go, not the beginning ot new rallies... - kisa