The original forecast called for a high pivot on
Wednesday, the Near Impulse day. On that day the market did put in a lower high
and lower low than the previous day - an initial sign of a trend reversal. The
following day it opened lower and spent much of the day in negative territory,
more evidence of weakness. At mid day I had a signal for a lower low on Friday
however a late afternoon rally negated that signal and the market closed near
its high and above the Thursday high. Outside days like this occur about 15% of
the time around Near Impulse dates and indicate underlying strength in the
primary trend. This was evident on Friday with a higher high and not much
downside pressure. Nevertheless I was able to capture some short profits early
on my NextDayTrades.
So what is next. The markets have Near
Impulse dates on Monday and Tuesday and are all in price range for a
reversal although I still have no trend change warning or sell signal. My scan
for Monday shows slightly more short candidates than long candidates but fewer
candidates than last week.Markets with underlying strength frequently reverse
after the NI date so that is what I am expecting with downside pressure building
on Tuesday and Wednesday.
Good trading to all.
Jim White Pivot Research & Trading
Co. PivotTrader.com
All major stock indexes share a Near Impulse
date tomorrow and although they have not generated sell signals yet, I
expect them to come tomorrow. Protect any long profits you
have.
Jim White Pivot Research & Trading
Co. PivotTrader.com