Petroleum Friday, page-2

XJO up today +0.16% after being down early in trading.



Today we had a small bounce off the congestion zone which formed in late October.

The Very-Short-Term-Trend is clearly seen in this chart.  Until that reverts to the upside it’s best to maintain a defensive stance.

Here’s the Trend Matrix:

	Column 1	Column 2	Column 3	Column 4	Column 5
0	Index	Short Term	Medium Term	Intermediate Term	Long Term
1	XJO	Long	Long	Long	Long
2	XTL	Flat	Long	Long	Flat
3	XMD	Long	Long	Long	Long
4	XSO	Long	Long	Long	Long
5	Sectors
6	XMJ	Long	Long	Long	Long
7	XEJ	Long	Long	Long	Long
8	XXJ	Flat	Long	Long	Flat
9	XNJ	Long	Long	Long	Long
10	XDJ	Long	Long	Long	Long
11	XHJ	Long	Long	Long	Long
12	XPJ	Long	Long	Long	Flat
13	XUJ	Long	Long	Long	Short
14	XSJ	Long	Long	Long	Long
15	XTJ	Short	Flat	Short	Short
16	XIJ	Long	Long	Long	Long
17	XGD	Long	Long	Long	Flat

Clearly, the Financials X-Prop (XXJ) is the major concern for the market.  The correlation between it and the Twenty Leaders ((XTL) is consistent.  When/If XXJ performs in sync with the rest of the market, we’ll have to have doubts about the overall direction.