Tonight I have created some charts of the major indices. Many are in the form of a long term historical perspective. Long term historical charts I like using closing prices (line graph) as opposed to bars or candlesticks.

There are also a few charts of the Ultrashort ETF (FXP) that was specifically requested. I also examine the matching index that the Ultrashort tracks.

This came in over the news wires tonight…

FITCH: REVISING OUTLOOK ON KOREA FROM STABLE TO NEGATIVE

- Also downgrading Bulgaria, Hungary, Kazakhstan, Romania, Mexico, Russia from Stable to Negative
- Downgrading Chile and Malaysia from Positive to Stable
- Affirms Stable outlook for Brazil and Peru
- Says Mexico revision due to host of external factors
- Global recession to affect Chile greatly

Well.. that is going to leave a mark…

I replied to a comment on the site yesterday that forecasting the hour by hour moves of the market right now is very difficult. Wild and bizarre intra-day swings have become the new ‘normal’.

The very long term technical picture (and economic as well) continues to point to a much lower market in the coming many months and perhaps even out to years.

Capital preservation is and always will be priority one. And any bear market rally should be sold, or shorted as I will be doing aggressively.

Charts.. They should speak for themselves:

S&P 500 E- Mini Futures

(FXI tracks the FTSE/Xinhua China 25 index (like the FXP but not a 2x inverse. Easier to track the primary China index by using the FXI then trying to perform T/A on FXP)