Welcome to my Trading Blog

Disclaimer: This is my personal Blog, reflecting my very own views on Forex , shares and commodity tradings. As such, all informations provided here are barely for information purposes only,. The author should not be held liable for any errors, incomplete information, delayed messages, or for any actions taken in reliance on information contained herein.This blog is new, being established on 06,May.2010. While I am executing trades, posting will be sent simultaneously. The date/Time indicated here is of US Pacific zone(++15 Hours for Singapore/KL/Beijing, Or ++7 hours GMT)

Tuesday, May 25, 2010

No Bear Market, But only A DIP for DJ / S &P 500

As I  mentioned earlier, do not yield to the urge to sell when the market is down in my earlier post.

To be a trader, we must keep our cool and at the same time to be some sort of Technical Analyst and Fundamentalist , of course, we cannot be compared to the recognized experts.but at  least we can apply some very basic concepts and theory. on the  Trading market.

The DJ close , if you see the below chart, the recent Plunge in the index is only  considered as a DIP,, even though it is already very much below the 200 D EMA. It is still no BEAR market on sight! The recent V  WAVE  on the 9868 level will likely  move from 1 towards 2 upwards the  10200 short terms.!!RSI is also supporting the positive bias.

I would only consider it a Bear market if the DJ goes below 9573 decisively for more than 3  trading days.
(8% from the PEAK of 11258,, or 20 % average Equity Price reduction on average)

Looking ahead, we shall see a gradual calming down both  the VIX index and  Fear.Factor  in the Market

Happy Trading

Large Photo

No comments:

Post a Comment