Monday, December 9, 2013

TA signal back to green

The resistance level I mentioned last week was challenged and broken by just a point today but the lack of a bearish wave has returned the short term trend signal back to bullish. This TA signal has only been whipsawed once this year so now we have to see if the market will hold above the Trend Average on the correction or slice through it. I ended up buying back my longs when resistance broke so now I am hedged and will be selling one of the positions depending on how the market handles the TA. I am still hoping for a bigger correction and technically speaking we could see a nasty sell off wave this week but you guys know I respect the TA so I am turning cautious on my short term bearish inclination.

Short Term Trend = Bullish
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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