Dow

Kez100

One tenth of workforce? That must be like our public sector going into liquidation! In numbers, that is.

The cars like that are nice - in a magazne read sort of way. I suppose if you live near a motorway. I just live on the edge of a cliff and car usefulness is probably biassed.

sabretoothtigger

Just thought I'd post up tonights sp500 (basically similar to the dow) showing a double top or twin peaks formation around the 14:00 mark.
Then you can see a similar sign of possible long decline also on the long term ftse chart

StevieJ

I believe the S&P is trading above the 50 day moving average, first time for a while, and ranks as a buy signal, you pays your money and take your choice

sabretoothtigger

Im not saying it'll definitly fall, just theres a good chance. ie. its fallen so much, it must be time to buy does not appear to be good advice imo

It has to complete the M formation to actually fully qualify as a sell signal apparently, but just the fact it is lurking there on such a massive scale is spooky considering recent events

StevieJ

Are you saying that a chart formation for 10 minutes on a particular day is a sign of a longer term decline Sounds a little fanciful to me if that is what you mean.

sabretoothtigger

No I was just comparing the small picture to the bigger one.

Today that peak was a sign of the sell off after and a weaker close, so on a short term scale you can see how or why it makes sense then I post up the larger pic because personally I believe the market also follows long term trends in similar ways though we can never see it coming just by looking at a day or week

Generali

StevieJ wrote: »

Are you saying that a chart formation for 10 minutes on a particular day is a sign of a longer term decline Sounds a little fanciful to me if that is what you mean.

I'm pretty sceptical about the whole 'chartism' thing (divining future movements in stock prices by looking at past patterns of movements). I guess it could be a self-fulfilling prophesy.

tradetime

StevieJ wrote: »

I believe the S&P is trading above the 50 day moving average, first time for a while, and ranks as a buy signal, you pays your money and take your choice

All three major US indices have traded above the 50 day sma in the last two days, I would want to see the S&P trade above 920 with some momentum before taking a long. Yesterdays action suggested momentum to the upside is spent, and we should see a move back below the 50 today, however most of the Funds have packed up for the year and the speculative traders are calling the shots so anything is possible. But as you say, pay your money and take your chance.

barrooo

I'm pretty sceptical about the whole 'chartism' thing (divining future movements in stock prices by looking at past patterns of movements). I guess it could be a self-fulfilling prophesy.

(Don't know how to quote so put it in a diff colour)

Thats pretty much it, especially on FX, fib levels work only because banks etc use them and so price more often than not turns at these points. So very much a self fulfilling prophesy.

free4440273

Most people cannot read charts (why should they); cannot decipher Fibonacci levels; interpret volume and price correlation (again, why should they). But Fibs are very important to trading - especially forex trading - and if you can't 'read' what the levels mean and where the next Fib level is (approaching), you are likely to blow your account (given the huge leverage in forex) and your head clean off. Not nice, margin calls.:)