Be On The Lookout
Following the trend is great, and I do it in the majority of my trading.
However, no trend lasts forever, and if you can have some idea of where a
reversal could take place, and you get confirming signals to support your
assertion, you have an opportunity to profit while most of the herd is sitting
on their hands.
12:36:28
Index Alert
The S&P 500 ($SPX.X)
is possibly tracing out a Haggerty 1-2-3 bottom near the 1.5 volatility band at
1083 on the five-minute chart. The NYSE ticks are also improving, so a
short-term bounce could be getting ready to take place. SPX.X is now down 13.50
to 1087.14.
As the NYSE ticks improve, the combination of the patterns and
the alert zones at the volatility bands give good support to the likelihood of a
short-term rally as volatility reverts back to the mean.
When you are aware of these levels, you have the opportunity to
get a jump on the rest of the field and profit from your knowledge. We post the
volatility band levels each morning for the NDX, SPX and the Semiconductor Index
(
$SOX.X |
Quote |
Chart |
News |
PowerRating). Get into the habit of noting these levels so you won’t be
standing on the sidelines when the time to strike comes around.
Until tomorrow,
Duke
P.S. For more information and a free trial to Kevin Haggerty’s
volatility band service,
click here.