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This NYSE Pattern Would Not Be Good For The Risk-On Trade

Published 06/24/2016, 02:13 PM
Updated 07/09/2023, 06:31 AM

Weekly NYSE Composite

The NYSE Composite kissed the underside of dual resistance at point 1 above way back in 2008. Once that resistance held, we saw a big push away as sellers stepped in.

Is the NYSE forming that pattern once again at point 2?

This would NOT be a good place for the Risk-On trade if the broad market starts “pushing away” from dual resistance at point 2.

Full Disclosure: Members are double short the Nasdaq 100.

Latest comments

Chris, I think you nailed it. I've been watching the long-term MACD and it was almost to a point where it would look to reverse from a rollover started August, 2015 but now looks like it will maintain it. This was using a MACD with the same parameters that preceded the 2001 and 2008 declines. Looks to me mostly downhill from here, maybe very strongly for the next few months into the election with a potential retest of 1550 in next 3 to 4 months.
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