Wednesday, July 15, 2009

Possible H + S pattern



We still got a H + S pattern albeit a very unusual one. For lack of a better word, a 'bowtie'.
We are potentially mirroring the move up, just in reverse with a broadening wedge pattern. Whereas the activity from May was a tightening wedge and the head being the failed breakout pattern.

Although the levels are all over the place, conceptually this is a pretty complete pattern. IWM, SPY, DIA, and even QQQQ to a certain extent exhibiting bowties.


http://stockcharts.com/h-sc/ui?s=SPY&p=60&yr=0&mn=3&dy=0&id=p94941011682&listNum=1&a=159663290

1 comment:

Aaron said...

with this rapid rise the past couple days. you think this coincides with CIT? remember end of June somebody borrowing 7% fed funds.

could this have been a setup? the markets with GS/ Intel BS and calculated CIT wipedown of common to kill market and save USD??? argument can be made that a bailout of CIT could of been made a week ago, but was market too weak to handle and not enough money made from shorts then???