Wednesday, October 21, 2009

Did I just see P2 end?

Above is a count...don't really like it...really expected a move up to 112. But that drop at the end of the day looked impulsive. We are going to have to wait and see if that was the top. For the time being, today was a key reversal day. We made a new high today, but before the end of the day we finished below yesterday's lows. And of course a bearish engulfing candle pattern formed.

Also note that any unfilled GAP DOWN tomorrow will leave an ISLAND TOP.

The BPSPX:CPC crossed indicating an intermediate downtrend is coming. Doesn't necessarily mean that P3 has started. I won't be posting this chart again for awhile until the crossover indicating buy.
Wow that was a heck of a reversal candle on the vix. A bullish engulfing candle formation has occurred. Tomorrow will be in getting confirmation.