Equity Markets: Technical Update (11-28-08)
Read the full article: http://weeklyta.blogspot.com/2008/11/todays-action_28.html#l...
Looks like we're in a bear flag or a rising wedge (close-up view). This pattern usually spikes higher and moves laterally toward the top of the flag/wedge and then falls off a cliff quickly. The volume should also be decreasing each day (regardless of whether it's a holiday week or not). It's important to short as quickly as possible because the breakdown almost always falls much faster than the time it took for the pattern to materialize.
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