Sunday, September 13, 2015
Market Watch: DJIA
Well that looks very interesting. Take a look at the huge and I mean to say HUGE triangle consolidation forming since mid August. It goes between roughly 1875 and 2025. Consolidations are holding patterns after which either the original -downward- continues or there is a turn around.
So, which way will it break? Notice how the 50 dma -yellow line- has just ducked under the 200dma -blue line- that's an early warning indicator. Also notice how the 200dma is flattening out and turning down, that spells bad news for the long term. If I had to guess I'd say its going down, but guessing is risky, just wait for the break. If it breaks down you can play the short side with DXD.
Posted by StockMarket -Implode at 9:15 PM