We seem to be at a crossroads. Let's take a close look before jumping in too soon!
2D, 5 minute - May 11 - Today we had a break in the Bullish Trend. There was a gap down followed by a mostly sideways day but with weak internals. There was no aggressive selling and at the same time there was no strong Bullish effort to sustain the recent rally. The day ended with a weak close. The sideways action with lack of momentum kept us on the sidelines. Our Time Decay Iron Condors performed well in this environment.
10D, 30 minute - May 11 - The current intermediate trend is easily demonstrated. We did get a break below the ascending triangle that was suggested yesterday. Today there was a gap down followed by a day of weak internals and no real momentum to recapture the Bull move. While the market did close with a whimper there was no aggressive selling.
3M, Daily - May 11 - The Intermediate Trend remains up, but there is a suggestion of weakness with the break of the ascending triangle. This would indicate that we may have some additional pull back. There are no guarantees in the market. "Technical Analysis is a windsock, not a crystal ball." - Carl Swenlin, <
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