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Shooting Stars are everywhere. Is it time to turn into a growling Bear?

Posted by Investing Freak on August 24, 2009
Market Analysis / Comments Off on Shooting Stars are everywhere. Is it time to turn into a growling Bear?

I noticed something strange today looking at my favorite timeframe. (half a day 🙂 )

Stars were shooting everywhere.
Many symbols like $SPX $SPY $INDU $OEX $COMPX $QQQQ etc had the shooting star pattern to an extent.
I chose to include only 3 to keep it simple

Now before I insert the image I would like to explain what a shooting star pattern is thanks to Stockcharts.com

Shooting Star: A single day pattern that can appear in an uptrend. It opens higher, trades much higher, then closes near its open. It looks just like the Inverted Hammer except that it is bearish.

Here is a visual aid to go with the definition.  (Click To Enlarge)

shootingstar

Now bear in mind this is my own opinion of what I see happening. My system has yet to give a sell signal but today I did receive a sell in GLD so if gold is losing value that means market is going down (most times that’s the correlation I’ve seen.)

Now listen up you Goldman Sachs!  Stop reading my blog and proving me wrong. Let the market go down like it wants to.
Thank you very much.

-K

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