Markets are being delusionary as if market rally is guaranteed trading in low volumes after running up 25%, in a few weeks, which is the best gain since 1933.
The recent bounce off from the low SPX 666.79 on 3/6/2009 is obviously a strong bounce; however, we now have a maturing trend that is showing signs of weakening internals. It is expected as markets are entering into one of the weakest earning report quarter. Even though some are hyping that markets have already discounted the worst earning reports, so markets will not be surprised by bad earning reports, it is unrealistic and delusionary to think that we have seen a cement bottom on 3/6/2009 as I think that we will at least retest the bottom or to trade to lower SPX 555 +/- target.
Entering markets at this time is unwise and taking high risk as we are still in the midst of bear market, which will last several years in the secular bear market since 2000.
Markets retrieved from the targeted SPX 850 +/- and even though we are seeing volatility with upside price movement since 3/6/2009, it is best to lock in profits before everyone is looking for exits. Certainly, I would not buy markets at this time except for very short term trading. 60min charts are closed at potential bounce levels on major markets; however, it is not wise to chase markets duped into the second half rally rhetoric. Price action tomorrow will provide some clue and reassess.
Markets are snoozing as if market rally is guaranteed.
SELL, SELL, SELL
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=36828662
Markets retrieved from the resistances.
$COMPX 1625 +/-
$INDU 8075 +/-
$INX 850 +/-
Qs megaphone formation is completed at 32.50 +/-.
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