Sunday, March 7, 2010
Strong
As mentioned previously, in a strong bullish swing the Climax High sell signals might go down for just a day or two, or sometimes just for an hour or two.
We see this especially in a constructive basing pattern, as a stock or market index forms a "handle". Sell signals tend to occur as the price reverses downward off previous highs or pivot points. But there's no follow-through to the downside. An upward break is imminent.
This appears to be what's going on now. We can take a breakout above the high of the Climax High signal as a contrarian buy signal.
We see this especially in a constructive basing pattern, as a stock or market index forms a "handle". Sell signals tend to occur as the price reverses downward off previous highs or pivot points. But there's no follow-through to the downside. An upward break is imminent.
This appears to be what's going on now. We can take a breakout above the high of the Climax High signal as a contrarian buy signal.
// posted by gigascanner @ 9:47 AM 
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