23 Oct 2012

This a perfect example of loosing money if you traded againts the trend.  Last friday I mentioned that the daily Stoch. for the SPX has made a cross down.  This changed our trend, and yesterday the market reversed and made a reversal candle on the daily all the bulls and bears immediately called a short term bottom and while I did also say that we should rally, I did warn that our daily was still on the downside.  Today that downside came fast and hard.  Are we done? Im sure we are close as everything is in oversold, but we need our daily stochastics to turn up for markets to follow short-term.  Until then DOWN is the word.