tuesday, page-10

further congestion ? in s&p chart acouch,

Loose, prolonged congestion at such salient points is common, would be unsurprised if it occilated there for another three, four or even five sessions, with another minor upward retest or two, to really screwe the shorts. ... Get them knawing their fingernails to the bone a little, the maximum pain philosophy of market action. ... Many US "advisory" newsletters have been pressing the short argument so hard for a fortnight that many amateurs with weak hands may be heavily short the S&P. Most expected it to fall before now, and must have churning guts re an upweek, or break higher. ... If Monday or Tuesday, Stateside, brings any good news earnings improvements by major US companies, then many may panic to shortcover, and end their pain, causing a retest up.

Regards.


No open S&P position.