5 replies to this topic

[selecto]

http://stockcharts.com/c-sc/sc?s=$COMPQ&p=D&yr=0&mn=0&dy=6&i=p22096749863&r=4721.png

[Islander]

You might add that the SPX was bumping up against the BB upper band which suggests that a decline to the lower, at least, is more probable. In fact, I have several cautionary signals. Islander

[The End]

We did not close below Friday's low therefore, it was not a key reversal. Sorry. :-)

[nicolasillo]

We did not close below Friday's low therefore, it was not a key reversal. Sorry. :-)

I don t know about nasdaq but spx opened higher than the previous close and closed lower than the opening...i guess that should be a st sell

Edited by nicolasillo, 24 September 2007 - 06:03 PM.

[selecto]

The End, you (like Fib) appear to have a stricter standard than what is conventionally required. Here is a capture from Edwards & Magee: [attachment=5986:attachment]

[colion]

Here is a definition from StockCharts that says everybody is right but the odds of a reversal increase as the range and volume increase. Either way its certainly a heads up but needs confirmation from other measures. "Key Reversal Day: one day chart pattern where prices sharply reverse during a trend. In an uptrend, prices open in new highs and then close below the previous day's closing price. In a downtrend, prices open lower and then close higher. The wider the price range on the key reversal day and the heavier the volume, the greater the odds that a reversal is taking place."