SharePlanner Reversal Indicator: In Need Of Some Weakness
January 29, 2013 - 2:12pm
A little bit of weakness is all this reversal indicator needs
The SharePlanner Reversal Indicator is showing that this market is at unsustainable levels, and in need of a pullback before it can rally and push back higher again. The market has seen little-to-no relief this entire month. Since 1/8 the biggest multi-day pullback has been 1.5 points on the SPX... seriously, that is unheard of. Before that it was just a two-day pullback on 1/7-1/8 which was 9 points. Since the beginning of the month we have rallied from 1402 all the way up to its current price of 1506; a 104 point rally, with the largest pullback being to the tune of 9 points. That is more than a 10:1 ratio and I can assure you that won't last.
The issue becomes how we are suppose to time this pullback. Bearish divergences continue to abound including the VIX, T2108, and other major indicators. Patience is key though, b...Continue reading this article »