Today we looked at the markets and have officially declared a BULL MARKET, as we have broken some key resistance lines on the SPY and tested them on the QQQQs (a confirmed breakout for the Qs) and the VIX finally broke down under the support line that has been holding it ever since this market fell in october. We also look at GS as it gave us the que to be long the market when it broke out from it’s bull flag channel and rallied up all the way to it’s longer term ascending channel. We look at SRS finally forming a head and shoulders which can take it to insane lows, and XLF breaking out of it’s inverse head and shoulders. We look at Wells Fargo as it finally showed some strength and is sitting at resistance of an inverse head and shoulders which should take it higher. Monday we may see a pull back as a lot of these stocks are overbought and are sitting on some strong resistance levels and need to pull back a little. The only reason we remain a little skeptical of this breakout is because the Dow Jones has not broken out of it’s channel yet, and lately the technicals worked best on the Dow, but the Qs led the market higher and so did the XLF today, and that’s an encouraging sign. We also looked at AMR as it rallied above a triangle formation and tested the resistance as support. Looking good there!
Duration : 0:8:59
[youtube VDVcsFRXluY]
February 21st, 2010 at 9:27 pm
And did we reap …
And did we reap some gains
6% on SRS
10% on FAZ