Goldman Sacks has been a bell-weather stock that has functioned as a direction finder in the markets. As seen above it has been in an intermediate term decline as opposed to the volatile ups and downs seen in the market. GS has been more consistent than many other indicators in confirming direction in the markets.
1 Year, Weekly - Nov. 4 - Are we at a breakout or a breakdown? Support appeared to fail but then the market reversed back above support. Was this just a fake out? Was this just emotional reaction to the Fed. We are firm believers in assessing the market in different time frames. Trade decisions should not be made without evaluating several time frame charts.
20 Day, 2 Hour - Nov. 4 - Battleground between Bulls and Bears within the Rectangle. Lots of volatility and multiple ways to get faked out and lose money. Trades are best made in periods of low volatility (Narrow Bollinger Bands). High volatility in the markets translates to emotional decisions which are rarely profitable.
Trade Page - Nov. 4 - Trade Page is composed of the ADs, UVol-DVol, MACD, CCI, RSI, & SPY. Combined this provides an instrument panel that allows the trader to keep abreast of the market at hand.
There is a lot of uncertainty in the market at the moment. We are at a crossroads as to which way the market goes. Trying to maintain a neutral position really puts us in the middle. There are Bullish as well a Bearish indicators.
11.3.09 - Today began with a Bearish mode and quickly turned sideway to slightly bullish. ADs and UVol turned positive. It was a difficult day for directional trades.
2o Day, 2 Hour - Nov. 3 - Is this a breakdown or a potential breakout?
Ditto
1 Year, Weekly - Nov. 3 - Bullish Trend prevails.
Tomorrow is a toss up as to direction at the time of this report. The major recent trend has been to the downside, but the late rally Monday combined with bullish financial reports creates some uncertainty about Tuesday's "tilt."
2 Day, 20 min. - Nov. 2 - Lots of volatility today with significant reversals that seemed contradictory to technical indicators.
20 Day, 2 Hour - Nov. 2 - The 20 Day chart shows an "Over the Hill" pattern with a significant downward trend. Is this the new direction? It remains to be seen.
1 Year, Weekly - Nov. 2 - Longer Term the chart remains bullish and supportive of today bounce off of support. The rest of this week will be important in showing us the direction of the market.
The Market is at a Crossroads. The Bull Rally has been fueled by a Weaker Dollar in the last 5 months. The Dollar now is up and the market is backing off. How long? Who knows?
2 Day, 10 min. - Oct. 30 - Moving Average and MACD Crossovers signal change in direction in market.
20 Day, 2 Hour - Oct. 30 - Intermediate chart shows Moving Average Crossovers coinciding with MACD Crossovers. RSI and CCI topped out as well. The lower support line in the Channel has been breached. This portends further decline this coming week.
1 Year, Weekly - Oct. 30 - Longer Term the Trend is still Bullish. This may remain so but shorter term call for more defensive action by the Bulls. Bears should be happy.
6 Month, Daily - Oct. 29th. - Monthly Pivots can be Important Milestones providing Lines in the Sand relative to Support and Resistance. They are powerful tools in helping traders manage within predictable boundaries. The chart above clearly shows the present market at Support with Potential for moving back into a Bullish Mode. On a month to month basis you can appreciate the stair step advancement of the market.
3 Month, Daily - Oct. 28 - Market declines but is right on Support Trend Line.
1 Year, Weekly - Oct. 28 - Yearly Chart is also on Support. Failure at this support line could lead to significant additional decline. Bulls should be cautious and defensive.
10 Day Chart - Oct. 27 - Corrective Trend Channel is shown above. Significant and critical technical support is at the 105 level. A break below that would be very Bearish.
3 Month, Daily - Oct. 27 - Scalloped advance along the Support Line.
1 Year, Weekly - Oct. 27 - The Centerline appears to be Support for this Bullish Trend Channel. Technically it is important for preservation of the Bull Rally for this support to hold.
20 Day, 2 Hour - Oct. 26 - Weakness displayed itself today in that support failed to hold at the trend line (rectangle). Lack of support could lead to a lower opening and further decline.
1 Year, Weekly - Oct. 26 - Long term the market remains bullish. Decisions need to take into account market behavior in all time frames.
The Dollar has been in continued decline for 6 months. The general equity market action has been a mirror image of this decline. Huge spending by the government has raised concern and probability of impending inflation. So far the Fed has held interest rates near zero.
20 Day, 2 Hour - Oct. 23 - Weekly Pivots displayed in above chart. The past week demonstrated some topping action, but we have seen this before only to have the bulls jump in and buy the pull back. Will it happen again?
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