I am looking for the BPSPX to drop to or below the lower red dotted line above. I expect a new near term low below 104. How far below 104 is hard to tell, but sub 100 is not out of the question. But after that we should get a rebound that will last many weeks.
The VIX daily bounced off my torquoise resistance line from long ago. The VIX also formed a bullish hammer candle. We will see in 10.5 hours :)
Tuesday, June 8, 2010
Thanks to mindmeld.ws for making this awesome macbook air available to me to post blog entries :) My trading has been doing much better while I have not been blogging. As shown above the BPSPX:CPC crossed the 20MA moving up late last week. This is an early indication to get out of short positions.
The VIX daily has retraced to the 20ma. I really expect a move up and a new low before the VIX decides to make a trip to the lower BB.
The green area is my target area before the rebound. Off to download the developers kit for the iphone now!
Posted by Pokerden at 9:37:00 PM