For now.. the rally has run into a wall of resistance. Last night I showed you the volatility index with the trend lines. With the gap up buying this morning the volatility has come down to support.
this would signal that we have reached the extent of the buying ‘frenzy’ and will probably hold here or start to sell down into the close. At least from a technical perspective that is how it looks here.
2 Comments
April 1st, 2008 at 1:09 pm
Chuck -
Some time ago you mentioned that you took out a position on DXD (short the DOW). What is your stop loss point on that trade?
Also, how would you consider the volume on today’s rally?
Thanks
April 1st, 2008 at 1:40 pm
I know you asked Chuck, but since I’m being a mouthy broad today, I’ll answer
Stop on DXD is our entry at Dow 12750. Volume is about at 6 month average, but diminishing.