closed the last short
and opened tentative longs in ultra nasdaq 100 and ultra s&p 500 on november 13. today's closing data -- particularly in revisiting the recent low -- shows fewer new lows in the s&p and in the nasdaq 100 on each push down. this was most pronounced earliest on the 20-day timeframe, but is now clear on the 65-day and 250-day frames as well. volumes in the s&p (net points, net volume, net advancers) do not yet reflect a bottom but neither do they show significant deterioration in the last four days. percentage of issues trading over 10dma is also improving in the s&p. tick and ticq moving averages are also improving. coming on the heels of a 90% upside day on november 14, this is all saying "buy".
it barely seems possible to me that a significant rally could emerge from this financial carnage. but i have to trade the charts. to be certain, i'll be quick with the trigger to back out of these rallies (if they are rallies) on signs of faltering strength.
Labels: markets, trading