Dow 2006

Calling tops is a dangerous game ,but it's possible yesterday we've seen a significant top made.For the first time all the US indices went over their highs and closed below them on lighter volume,which suggests buying momentum is drying up.Add the fact that we are about to see a shortened trading week due to US holidays the volume over these highs will also be lower on a weekly basis.The numbers to watch are SPX 1403.76, Nasdaq 2453.35
Dow 12345.
Any daily close above these numbers negates this.A close at the end of this week below these numbers will confirm this scenario.
Now watch Mr.Market make me look a plonker !!

cheers
 
2468steve,

Same here, I too think that either a top has been made or is about to be made, but after weeks of waiting for the top I am prepared to see yet another high, the spx has been widely quoted as reaching 1425 and even 1440, I know better than to listen to "specialists", but the momentum has been incredible, we are already much higher than most of us anticipated. So I am short since yesterday, if the market will push higher I will cover the shorts and re-open them later.
 
What is the significance of 144 days. Is it some kind of black magic? Sorry I'm still learning...

Atilla, it's okay I'm still learning too.......
Anyway, 144 and 360 are two numbers that W.D Gann cited as having particular significance for some reason. It can work as timing tool i.e 144units of time from a significant peak or trough. I use calendar days usually but you can also LOOK FOR for turns using trading days too...

It has also been known for price to behave strangely at 144 and 360 divisions and multiples.
So from that viewpoint Spx 1440 becomes interesting.

In my experience it's helpful to be aware of these numbers as potential support/rez in time or price but it's just part of the jigsaw as we all know.

Gold made a low on 4 October. It may have been coincidence but the low was 145 calendar days from the May highs. So I was looking to see if something might happen around that date.

Probably a bit too simplistic but there you go....
Hook Shot
 
mark twain uk said:
You're pushing it here, you can arrive to anything if you can divide/multiply by random numbers
Click to expand...

Perhaps..... but that's what the timers do 1/8th's and 1/3rds - are usual....... but obviously whole numbers like 360 or 144 carry more weight.

90units is quite a common point to "luck" for a turn.
 
And the meaning of 144 days is...? :eek:

Can I refer you to ajaskey or joules or someone as they might give you a better answer I'm at my limit! :rolleyes:
 
I'd say this though - maybe I'm the only one but Dow is losing it's attraction - other than waiting for slider or poss a pullback to get long I'm not sure what the buzz is....

Australia was violent and has now pulled back ........... Nikkei is in short term downtrend and didn't really bounce today. I know it's night work but there seems to be more to go at than watching paint dry or punting 12300 - hoping dow will go higher......... ?

Maybe it's just me !
 
Hook Shot said:
And the meaning of 144 days is...? :eek:

Can I refer you to ajaskey or joules or someone as they might give you a better answer I'm at my limit! :rolleyes:
Click to expand...

Many thanks for letting me know. I know about Fibonnaci and heard about Gann lines but didn't know about the significance of the numbers. I'll try and have a little read tonight.

I feel markets have been tested again this morning but turning down somewhat. Reuters suggest light volume in the European markets once again pointing to lack of conviction. Be interesting when the US markets open. I'm still shorting and will hold my position. Some good news for Boeing but will it be enough to enrage the bulls?

Looking at half hourly charts at the moment just before the open and MACD & RSI shows a selling opportunity to me for the SPX500, NASDAQ100 and DOW30.
 
I noted the low vol in Europe perhaps yanks are taking hols early ?
Lets just pray that tight range yesterday breaks with some energy one way or the other - SMILE!!!
 
Its not rushing in any direction.
Maybe I detect a look at down though ??
 
Pat494 said:
Its not rushing in any direction.
Maybe I detect a look at down though ??
Click to expand...

Looks like markets swinging round sweet low... I really have high expectations this week. It's unfolding before my very eyes. The bulls must be seeing red... :cheesy:

Just to check my bearings :eek: Is anybody long at the moment?

Any recommendations.
 
It looks like the market is running out of steam, they may have another go at taking out some stops above the latest high, but even if this happens it ought to reverse and then drop like the proverbial
 
Call out for the PPT brigade: Please return to your desks, the market needs propping up.

Closed my shorts, waiting for confirmation of the next leg.
 
mark twain uk said:
Call out for the PPT brigade: Please return to your desks, the market needs propping up.

Closed my shorts, waiting for confirmation of the next leg.
Click to expand...

What / Who is the PPT brigade? :eek:
 
the PPT (plunge protection team) is a work of fiction invented by traders with a prediliction to short positions to explain why their shorts have failed to work

with all the programme buying and selling, its just normal market forces.

hope we are all looking for the burst further north chaps? its just taking a pause to unwind its slightly overbought nature, before heading up to 13,500 by january.

keep buying the dips chaps..

oh, and PS, a long on GBP/USD could prove useful before xmas.

fc
 
FetteredChinos said:
the PPT (plunge protection team) is a work of fiction invented by traders with a prediliction to short positions to explain why their shorts have failed to work

with all the programme buying and selling, its just normal market forces.

hope we are all looking for the burst further north chaps? its just taking a pause to unwind its slightly overbought nature, before heading up to 13,500 by january.

keep buying the dips chaps..

oh, and PS, a long on GBP/USD could prove useful before xmas.

fc
Click to expand...

Thank you for making me aware of the Plunge Protection Team. I will look out for them. However, I'm going to maintain my short positions with stop loss for the SPX500 at 1405 & 1410. I do not see a major brake out. On my radar I see falls.

I think the highs will have to be contested. :devilish:
 
FC,

I am not saying that we may not see 13,500, but I very much doubt that we will see this by January 2007, it took 15 weeks of a parabolic move for the last 1,200 points increase, and a correction will have to happen, it is human nature, the paper profits are too high and they will need to be converted into cash at some point, and as soon as the selling starts it could snowball into something else. I know that the whole market is euphoric but that euphoric? Will find out soon enough.
 
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