No signs of China stimulus
There were no signals of China stimulus on Sunday or Monday. In my previous post I has stated that a lack of stimulus would likely lead to declines today. The market was only down marginally today, but I think it would have been worse if we didn't get to see Ben Bernanke in the spotlight a couple times this week. The stimulus fans will be hanging on his every word looking for further easing, but I find the chances of that slim. Earnings will really start coming out this week. We'll see how the market reacts, but the RumWave chart (that I don't post) still shows ample room to decline.
The most interesting thing on the daily scores is the RumWave score, which has taken a bit of a greenish tint. It still doesn't signal time to get into long positions, however.
What I find interesting about the 4 hr chart is today's candle. It shows a shoring up of momentum to the long side. Also, the RSI has shown some decline here, and has room to go down quite a bit. The %B is also showing a declining slope.
The daily chart doesn't really say all that much, except that bearish divergence that we had already discussed. Friday's rally was contrary to that indicator.
I look forward to seeing how it goes tomorrow. Best of luck to your trading!
No comments:
Post a Comment