“Those who have knowledge don’t predict. Those who predict don’t have knowledge.” Lao Tzu, Chinese philosopher, 6th century BC

PAYPAL

Tuesday, 29 January 2013

29 Jan 2013

after the plateau from yesterdays session, we moved up again continuing this inching up rally.  Our 60min stoch has crossed down but still in the overbought position.  With the Daily still in Bullish position we must still give some for bullish case.  Once we have had the daily stoch. come out of its overbought range we can call for a trend reversal.  A small divergence has occurred in the SPX daily chart but it could erase it if it continues higher tomorrow.  We will watch for a reversal before we go short.

We have a weekly reversal in some indexes most notably:

$CDW down
$FTSE down
$KOSPI down
$NIKK down
$NYA200r - NYSE percent of stocks above 200Day MA. down
$SOX down
$TSX down
$VIX up

Anyone trading these indexes should watch for an end of the week print to confirm that it has crossed down or up.

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