YT, we have just seen a H&S pattern on the Dow and SP500 break down in classic style. These patterns do not always break down..remember July 09 and that H&S that had a fake down that was followed by a massive rally ?? At the time many punters (ie me) were still reeling from the events of the previous 2 years and had sold out on the fake down only to be caught out. (Doh !! Talk about kicking a man when he's down)
Sometimes TA is just about possibilities, a fork in the road so to speak. That is how I would view the break down this week. I must confess I was of the same opinion as Martis that we were at the bottom of a 2 year sideways channel and that we were about to head back up...unfortunately that didn't happen.
