I’ve added a News Mashup which is in a similar format to the Trading Blog List. This is a place for me to quickly scan through the most recent news headlines. For example, I was able to find this video from the Madoff auction from the Digg feed.
Regarding today’s action, could it be different this time? Or this it just another opportunity to buy the government bubble?
UDN broke the trendline a few weeks back and then found support at the 50 day SMA. It looks like this could be a final kiss the trendline and breakdown scenario.
Right now IWM is still just playing around its 50 day. But another down day would cause some serious technical damage. While SPY, DIA and QQQQ are still looking good, it is unlikely that IWM will head lower without the other indexes. So something has to give.
IYT is also looking vulnerable. A triple top might be forming.
Finally, I’m keeping a close eye on my all time high breakout list which includes AAPL, BLK, BIDU and IBM. So far, they’re trying but are not able to bust out.
As mentioned previously, I also think USD will find support (at least in the short term) at the 2008 low. I think this will keep a lit on the market and commodities going higher.
DBV which is basically a “carry trade” ETF is back on its 50-day SMA. There has been only one breakdown of the 50-day since March (back in July). I’m using this ETF as an additional check to detect a trend reversal in USD.
I’m not shorting the market just yet. But it does look like the market is perhaps setting up for pullback in the near term. It is not that I am partial to being short, but I do believe the fundamentals are bearish and it is therefore easier for me to trade in the direction of my beliefs.
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