Monday, October 20, 2008

Market Update

The triangles of the Inverse ETFS i showed yesterday in the video most of them have broken to the downside with today market's rally. The VIX took a huge hit, which shows it's trying to get back to more 'normal' levels which should give us lower volatility(bummer). But we are still stuck in that bear flag pattern i spotlighted and we look likely to test higher levels short term. Volume was pathetic and that makes me question the bull's strength longer term. However, should we see more strength going forward which is likely now, then i will watch UYM for a long postion as it's the most bullish chart i see out there right now.

good luck!


steve said...

Hey Stewie, Great video. Really appreciate the effort.

UYM and DIG may have some room to run, but don't these patterns have the potential to turn into bear flags very soon?

Stewie said...

steve. the pattern in UYM really looks like a bottoming formation. The volume pattern are exactly what i like to look for.

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