28 degrees, snowing, freezing rain and tons of kids running around … I’m not getting old, I’m just getting smarter. I wasn’t interested in going outside in this chaos today in NOVA. However, it was a great time to cruise the charts …it was a fun journey, to say the least.
our first chart is a chart of the NYSE Index …2000+ stocks, unable to be manipulated by the futures market and a mix of international players … it’s a GREAT look at the market. why is this such a great chart? Well, there is an index that tracks the total volume traded on the index and it’s down right scary. I did some research to make sure what I was seeing was correct … there “ain’t no buyers folks”
so then I said “what is the general public doing?” what are the indexes that can convey/show the mood of the masses? pretty cool trip into these charts … the bottom line is they ARE ALL SHOWING SELL PATTERNS. Shoes, Restaurants, Brokers, Gambling, Hotels, Consumer Electronics…etc etc etc. So, as a pattern recognition trader that means 1 of 2 things … 1) the PATTERNS work or 2) they don’t. If the WORK we have TOPPED if they DO NOT WORK we haven’t … easy, hugh?