Monday, October 27, 2008

10.27.08 - Flat Lined at the Pivot


Nothing happening here. Keep your eyes open for breakouts with a prospective bias to the upside.

[Add: Bear in mind Tick & AD line remain negative, however.]

9:55AM PST: Downtrend lines broken, heading to the five-day MAs, a critical test for the day. Adjusted cumulative tick trying to go positive.

11:20AM PST: First attempt over MA(5) was met with some mild selling pressure. Positive & Negative volume are playing a bit of a dance.

11:55AM PST: Playing "connect the dots", we are at the moderately rising trendline between Friday and today's opening prints. Just under VWAP and above Pivot. Though we appear to be stabilizing and we held here earlier today, I'm wary of prints below the pivot.

CLOSE: Looks like new lows at the day's S1. Vix at a new record close, RSI(2)=3.67. Putting a little "extra" on after the close (SPX 833 or so)... we'll see. Not wanting to hold overnight vs. another one bites the dust going into today's close? Does it matter? Of course it does, but... these big moves are feeling more and more blase.

o Quant Edges - Back to Extremes
o Alpha Trends - Back to 1997?

Never Investment Advice

2 comments:

Anonymous said...

Hi Jeff,,

OH-MY,, i get a payday afterall,, very pleased with 'this one' play,, and your right,, it is the short term plays that have proven the best over all...

Great day to ya.............

Mac

Jeff Pietsch CFA, Esq said...

Lions, Tigers and Bears.