The good news is that the market closed well off the lows today and didn't do much damage price wise. The bad news is that the Seven Sentinels are hanging by a thread.
Yesterday I mentioned that I was still long and more confident of a continuation higher than I was at Friday's close. I still am. But the market is being tested. Another sign is GS closed down an additional 2.01% today. That's 3 down days in a row. I've heard the rats are first to abandon ship.
So where are the sentinels? Yesterday I showed you four of the seven charts. Those four charts today are all on a sell.
Today I'm going to show you the other three so you can see how close to a sell we are.
First is $BPCOMPQ
Here's what to look for with this chart:
A positive crossing above or below the bollinger bands constitutes a buy signal. A negative crossing above or below the bollinger bands constitutes a sell signal. It stays in a buy or sell mode until it recrosses in the opposite direction.
In this case we are staying above the bollinger band. But not by much. I had to focus this chart down to one month to be able to see it. At first glance it looked like it crossed the upper bollinger band, which would have been a sell signal. But once I put my reading glasses on and squinted I could see that wasn't the case. :cheesy:
Next up, $TRIN
Here's what to look for with this chart:
A daily reading below the 13 Day EMA is a buy signal, a reading above the 13 Day EMA is a sell signal.
This one is just barely a sell signal.
Next is $TRINQ
You read this chart the same way as $TRIN
This one is just barely a buy signal. That makes two out of seven signals in buy mode, but not by much.
As a reminder: A buy signal occurs when all seven signals are in buy mode concurrently. A sell signal occurs when all seven signals are in sell mode concurrently.
Again, we are hanging by a thread here. And GS is down again.
Let's hope the market comes back tomorrow. I'd at least like to sell on strength should we get a sell signal in the next few trading days.
Yesterday I mentioned that I was still long and more confident of a continuation higher than I was at Friday's close. I still am. But the market is being tested. Another sign is GS closed down an additional 2.01% today. That's 3 down days in a row. I've heard the rats are first to abandon ship.
So where are the sentinels? Yesterday I showed you four of the seven charts. Those four charts today are all on a sell.
Today I'm going to show you the other three so you can see how close to a sell we are.
First is $BPCOMPQ
Here's what to look for with this chart:
A positive crossing above or below the bollinger bands constitutes a buy signal. A negative crossing above or below the bollinger bands constitutes a sell signal. It stays in a buy or sell mode until it recrosses in the opposite direction.
In this case we are staying above the bollinger band. But not by much. I had to focus this chart down to one month to be able to see it. At first glance it looked like it crossed the upper bollinger band, which would have been a sell signal. But once I put my reading glasses on and squinted I could see that wasn't the case. :cheesy:
Next up, $TRIN
Here's what to look for with this chart:
A daily reading below the 13 Day EMA is a buy signal, a reading above the 13 Day EMA is a sell signal.
This one is just barely a sell signal.
Next is $TRINQ
You read this chart the same way as $TRIN
This one is just barely a buy signal. That makes two out of seven signals in buy mode, but not by much.
As a reminder: A buy signal occurs when all seven signals are in buy mode concurrently. A sell signal occurs when all seven signals are in sell mode concurrently.
Again, we are hanging by a thread here. And GS is down again.
Let's hope the market comes back tomorrow. I'd at least like to sell on strength should we get a sell signal in the next few trading days.
