Wednesday, 7 August 2013

Tipping Further ...


After completing a TD Combo countdown last Friday (shown in the chart), the cash S&P500 continues to tip towards triggering the potential “sell” signal on this time frame. With Combo or Sequential I prefer the conservative approach by demanding a price flip. That would occur on any close below 1706.87 today.

With yesterday’s decline we now have actual bearish divergence between the RSI and Composite Indicator as well as between the Derivative Oscillator (not shown) and price. Yesterday also produced an aggressive “sell” signal in the price pulse system as the Beta-X trendline was broken. Again, being conservative I want to see the Y pulse shown complete. This would currently take a move below 1681.86.
 
Bottom Line: A price flip today turns this chart bearish while a move below 1681.86 would show the trending impulse pattern from the June 24th low as complete.

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