Monday, September 30, 2013

50 day ma

The market gapped down and broke the 50 day ma briefly before recapturing it at EOD. I think this is the level to watch as a breach of this level will likely bring lower lows. And now that we officially have a government shut down, the excuse for bears to take control is in front of them. So we'll just have to wait a few more days and see how all of this plays out. Looking at the waves, I extended the labels and made the entire structure a 5 but this is a very choppy structure. So the market might just be preparing a base for a new rally once all the political stuff goes away.

Short Term Trend = Bearish
Medium Term Trend = Bullish
Long Term Trend = Bullish

* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking into consideration other factors. 

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