Wednesday, September 23, 2009

If this is it! Doo-wap, Please let me know...

The sell off at the end of the day looked quite impulsive. My target was 108.16 and today we printed 108.03. This triggered several of my orders at 108. We broke down out of a near term rising wedge. We are quite far from the support line for this Bull Rally which today is sitting at 98.57.

This is my big picture and we are awefully close to my target. The 104.62 is the 38.2% retrace back down from the peak to the 09/02/09 low. This also happens to be the area of support and where I see the bulls and bears doing battle next. If this is the start of P3, don't expect it to be a long battle.
I am not going to totally commit until the 20ma crosses the 50 ma on the BPSPX:CPC. Bullishness was at an extreme yesterday and we should see a significant pullback in the market to correct that.

And as it is popular these days...I leave you with the Huey Lewis and the News video..."If this is it!"