SELL ON STALL BEFORE THE FALL

Hi Friends,


S&P 500 Index has finally given the breakdown from that rising Wadge or Ending Diagonal or Terminal Triangle. And the Game has probably begun. So "Sell on Stall before the Fall."

S&P 500

While the Price was making higher highs RSI is losing momentum and making lower highs. The same thing can be observed on DJIA monthly chart. So this is definitely a thing to worry with that package of Euro 500 billion thrown from sky to save the Bankrupts, Good Housing Data and blah blah blah. The real picture may not be so Rosy. 

DJIA

We had already posted the S&P 500 chart showing the outcome of the previous two bailouts. So with that breakdown from the wadge we are giving you the early warning to exit all longs if you cannot dare to sell short. We can at the most witness some sideways action before the final drop.




The European counterparts are also in line for the massacre.


We can see that Germany DAX, UK FTSE 100 & France CAC 40 are similarly poised and are ready to tumble.

DAX

CAC 40

FTSE 100

Our own India Nifty has already started it downward journey. It is just that some local Political Good News can bring some cheer for 2 days and give some odd 100-150 points rally before the final drop.

NIFTY

So message here is to quickly exit losing trades and move on to the next opportunity.




Thanks & Regards,


Harsh Dixit.