11/23/2009 Market Recap: Morning Doji Star


Could be a new high ahead but after that there'll be a bigger pullback.

  TREND MOMENTUM EMOTION COMMENT - Sample for using the trend table.
Long-term Up   Disbelieve  
Intermediate Down Neutral  
Short-term Down Neutral    
SPY SETUP ENTRY DATE INSTRUCTION STOP LOSS Mechanic trading signals for reference only.
Back tested since 2002.
ST Model 11/23 L *Long intraday 1.5xATR(10)

For SPY the stop loss is around 2%. Use 4% for 2xETF and 6% for 3xETF.

*No confidence in this trade.

Reversal Bar 11/23 L *Long intraday 1*ATR(10)

For SPY the stop loss is around 2%. Use 4% for 2xETF and 6% for 3xETF.

*No confidence in this trade.

NYMO Sell   *Short if Open > Close tomorrow  

*Setup not confirmed, waiting for Tuesday.

VIX ENV        
Patterns ect.         


The rebound today was more than I expected. However after the morning spike, the market spent the rest of the day on pulling back, only INDU made a new high while all the other indexes failed to confirm it, so the intraday action was not that bullish. No conclusion, need see more market actions.

As mentioned in the After Bell Quick Summary, when CPC < 0.7, high likely a red day tomorrow. Also if watch the chart below carefully, you could find that CPC < 0.67 usually is not a market top but it also means a short-term top is not far away, so maybe it’s not a very good idea to chase high here.


6.4.5 GLD and UUP Watch, GLD black bar means high likely UUP will rebound tomorrow which is another evidence saying that the market may pullback tomorrow.


1.1.3 QQQQ Short-term Trading Signals, the bull’s good news is a Morning Doji Star was formed, which leads to a bullish reversal 76% of the time. This also fits well with the above sayings that the market may have a new high ahead when CPC < 0.67.




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