Monday, January 24, 2011

Awaiting Confirmation

The markets rallied today so there was no downside follow-through for the MACD sell signal.  We are waiting for a break of Friday's low, preferably with a close below it to confirm the signal.  Also if tomorrow's range stays above Friday's low (without a new rally high), it would for a perfect chaos theory fractal sell pivot.  It may be Wednesday before we see confirmation, and by then of course, we have the end of the month-first of the month positive bias.  This top building process may last into the middle of next week.

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