Currently, the VLE is still in Neutral. To confirm a signal it must now close above the 25dema with the 25dema rising for two consecutive days or it must close below 2062.49 to confirm a short signal.
It is of interest to note that the QQQQ has yet to even approach it's 25dema. Later on we will examine whether adding a filter for the QQQQ to close above or below its 25dema to confirm the VLE signal.
The Cabot Tides system is still on a short signal as are most intermediate term systems. Many have been anticipating a change in trend. IBD even called a follow-through day last week. However, the recent distribution days are calling it into question.
It appears that most major markets are working triangle consolidations that most likely will resolve to the downside. If they are indeed triangles, we know from Elliott Wave Theory that the following wave should be the last in the series, so any intermediate term buy signal thereafter should not be ignored.
No comments:
Post a Comment