Next Monday the market will be closed.
The market gapped down from the opening.
If the market closes to flat even line or higher, the market will continue to go higher from here.
If the market closes to where its opened today, the market is still deciding which direction to go.
If the market closes 100 points or more down, the market is heading down.
Watch how the market closes the morning gap. This is the crucial area.
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unreal - so close to closing the gap...
ReplyDelete100% on the wrong side of the trade today :(
oh well.
back to work next week.
amnses
There are some investors are talking about E. waves and H&S patterns. It is fun to talk about it. But there are useless more of the time. There this guy from chartpatterntrader always talking about H&S patterns since March last year. Well, none of them come true. Also now he is talking about E. waves. He is always coming up with new indicators to predict the market. What is exactly BOSO?
ReplyDeleteThe price action is most important of trading.
Gap, support and resistance levels are also important too. Just keep it simple. The more indicators you will try to analyze, the more you will get confuse.
I watch him all the time. ;)
ReplyDeleteI halved my morning loss on the pullback and got out.
http://www.acronymfinder.com/Buying-Overbought%2FSelling-Oversold-%28stocks%29-%28BOSO%29.html
What does BOSO stand for?
Buying Overbought/Selling Oversold (stocks)
readinos
Also most investors read too much on volume. I am too, but I realized volume is not really accurate measurement. Here's why.
ReplyDeleteIf the market went down on huge volume in the morning (more than 100 points), then it rally back up in less volume with a close of 2 point positive. Then the daily volume of that day is positive because the market closes 2 point positive. Although the volume exceeded in downtrend than the rally in the afternoon. Is it wrong?
possibly.. but the fact that the major selling was 'done' is probably good.
ReplyDeleteI think with the last 3 months rise they had computed that there was less money in the market when it was higher than the previous high.
petsaxot
I hope the shorts covered this morning. That was your chance to do it today.
ReplyDeleteIt seems like the market will closed in a white bar. That makes 2 white bars, 1 black bar and 2 neutral bars. The market will be going higher next week.
Have a great weekend.