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The Broad market needs Basic Materials to break from this clean falling channel to break from its flag/Pennant resistance (see flag resistance)
Suggested to pick up IYM at (3) due to the potential of an “Right Shoulder” forming and suggested at the time IYM could pick up a quick 10% and it did in a matter of days. (see chart here)
If IYM isn’t owned at this time, I would want to be a buyer on an upside breakout, with a stop a couple of percent below line (1). Resistance remains strong just like Mr. Clean at this time!
Mark, thank you for your feedback. The settings have been changed back to allow the full articles to be shown via RSS Feed.
Chris, I really enjoy your analysis and have been following your blog using google’s RSS blog reader (a great tool for keeping up with all the blogs I follow). Unfortunately, on Nov 28 something in the format of your blog entries has changed so that blog RRS reader tools only show the headline and first 3 sentences. Prior to that, RSS readers would display the entire entry, including charts, which made it much easier to follow your work. Any chance you can return to the older format for those of us who use RSS blog reader tools such as google reader? Many thanks, Mark
Andrew….with resistance at hand all around the world, GE2 remains possible.
If the Resistance is broken to the upside, it would sure cool off the potential of GE2.
See the situation in the Cattle post this morning. GE1 picked up speed once Cattle broke support in 2008.
At this time support in Cattle is not broken, yet it sure is being pressed on big-time!
Chris
Chris, So is GE2 talk off the table? To me this looks like a prime short spot up against resistance with a stop out and flip of position on a break of the channel.