I’m Not Talking Dandruff Shampoo

• June 14, 2001
• Duke Heberlein

Be sure to take a look at the indices. Market timing plays an important role
when determining whether to take on long or short positions, regardless of your
time frame. This morning we noted in the Insights
From The War Room:

 

10:50:26

 Look out
below?????

Both the Nasdaq Composite (COMPX)
and the S&P 500 (SPX.X)
are forming potentially ominous head-and-shoulder topping patterns on the daily
charts. A break below the formations could trigger a retest of the April
low. The COMPX is currently standing at 2069.78, down 51.88 and the SPX is down
13.37 at 1228.33.

 

 

 

The bearish patterns in the Nasdaq Composite
(
COMPX |
Quote |
Chart |
News |
PowerRating) and
the S&P 500
(
SPX.X |
Quote |
Chart |
News |
PowerRating) could be signaling a rough summer if
they break and follow through to the downside. Am I saying this will happen? Of
course not, but I would be ready for it, in the event that this does play out.

Until tomorrow,

Duke