quick cranker wednesday, page-11

It's that time again imo...

You can feel it in the air, the inevitable correction following a strong bull run. Not saying we're falling back to 4000 by any means, but the general market sentiment and my indicators are throwing up a few bearish signs.

Here's just a simple chart to show what the US has been building up to over the past few months. We're well and truly due a pullback now and I am starting to take profits on my short term positions.

Coincidently if the market does retrace we will most likely get yet another failure for our market to push back up through the 50% GFC rebound level around the 5,000 mark.

Long term our XJO does look quite bullish with that convincing break of the downtrending resistance and a successful backtest in November; so perhaps this will be an opportunity for our market to push back into the 4500-4600 area and continue on to higher highs after that.