The evening star signal that formed in the Dow today, revealing a failure of the 50-day moving average a second time, and closing right on the T-line makes for a simple trend analysis assessment. If the premarket futures indicate a lower open tomorrow, a downtrend should be back in progress. Additional evidence was the NASDAQ closing below the T line and failing to break up through the downtrending resistance level. This visual evidence implies adding short positions on a weaker open tomorrow.
Strong sell signals as seen in CMCSA and CHGG is a high probability of short trade situations. Simple logic dictates that if you see strong sell signals in individual stocks and the market, in general, is starting to sell off again, shorting these positions produces high probability expectations. Join us on October 23 for a full-day training of identifying the top-ranked candlestick signals and patterns, the most powerful signals and patterns. Additionally, learn which options strategies produce the best results in conjunction with the strong candlestick patterns. 2+2, putting the probabilities in your favor and then maximizing profits from those probabilities.
Chat session tonight at 8 PM ET.
Good investing,
The Candlestick Forum team
