Tuesday, November 25, 2008

Difficult week to gauge

With Thanksgiving soon upon us it's going to be hard to read too much into this weeks' action. Monday at least finished stronger than prior two rally attempts in October, but for the tech indices it only brought them back to what was my former double bottom support. Money flow is exhibiting a bullish divergence which may help more than it has in the past.


The S&P finished bang on resistance (based on closing price):


Transports generatead a 'buy' trigger in stochastics from oversold levels


Can the indices mark a third day of gains? Otherwise a tight trading day around resistance to consolidate the past two days of gains would be a welcome alternative.



Dr. Declan Fallon, Senior Market Technician, Zignals.com the free stock alerts, market alerts and stock charts website
 
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