23 Oct 2014 - Be Careful...

The price has hit the underside of the Daily 75MA.  I thought yesterdays move to the underside of the 60min 75MA was it, but we cautioned that without the ST confirming we cannot jump into an assumption that the market has or will turn down.  Today, that same principle applies.  Todays turn down lower has not changed our ST into a SELL.

That said,  the patterns I see tells a different story even if the indicator has not mentioned any CIT trigger.

1. - Daily and 60min has put in a nice reversal candle.
2. - The 1 Min chart is showing at the least a 5 wave decline.
3. - 60 Min chart is showing a negative divergence
4. - We have a solar eclipse today.. (Bonus) lol.

Being that these pattern could turnout to be a B-wave or 2nd wave.  We should be cautious of any impulsive moves down.  This is why I cautioned at 3:00PM this afternoon for those holding long positions.  After all, we are still in a bearish market sentiment and Gaps or accelerations happen in the direction of the trend.  Our indicator is primary, while our EW counts are secondary.

MT: DOWN
ST: UP
PA: DOWN

1 Min. Chart

60 Min. Chart

3:00 PM

Be Careful... LONGS..

On a side note: Thought you would like the videos...

https://www.youtube.com/watch?v=6h4-j9Jsjag

The video below is regarding the 1929 Crash and I'm only showing it as an anniversary to the dates of Oct 23 and Oct 24 where the slide really began...

https://www.youtube.com/watch?v=POMhTJqw1d4