Technical Stock Market Forecasts for Swing Traders
Wednesday, December 30, 2015
Interesting Dow pattern
I know I'm on vacation but I just wanted to point out an interesting (and unusual) pattern in the daily Dow I noticed the other day. Check this out. This is a really good descending broadening wedge. You don't see these every day. And the typical exit from this pattern is higher. And this one looks about done. And that would be just in time for January which is typically a very good month for the market. So on an intermediate term basis, I'd say things are setting up for a leg higher in the next few weeks. I certainly wouldn't be going short right now.
Michele is a swing trader, a night owl, and a student of Japanese candlestick charts. She retired from a large tech company at the age of 50 and has now been trading US stocks and occasionally the e-minis on a full-time basis as an independent trader since 2004.
The Night Owl Trader publishes every trading day late at night (or very early in the morning) around 1 or 2 AM, with occasional bonus commentary and analysis thrown in on weekends.
The Night Owl is independent, ad-free, and made freely available to all. Contact me at nightowltrader (at) gmail.com.
BB - Bollinger Bands COT - Commitment of Traders Report DCB - Dead Cat Bounce MA - Moving Average RTC - Regression Trend Channel YTD - Year To Date
(My lawyer made me do it) This blog is not trading or investment advice, account management or direction. All trades listed here are presented only as examples of the author's personal trading style. Investing entails significant risk and trading entails even greater risks. Act accordingly.