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LOWER HIGHS and LOWER LOWS - A DOWNTREND |
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Written by Edward Chen
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Monday, 10 September 2007 |
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The DOW has been making lower highs and aiming for lower lows as well.
Apologies to all of you that told me that you have been checking back with my site for new postings these past few weeks. I got back from an annual Summer Conference last week and have been searching for something worth commenting about in technical terms.
Unlike other writers, I wanted to be extremely practical and just hope to be able to assist others in making winning trades with what I know. Stocks that were previously strong on an upward trend on my list have turned sideways into a relatively predictable trading range while other weaker ones have started their downtrend. I missed the opportunity to comment about DOW's potential resistance at 13,500 and the DOW is now nearing 13,000, which is another support and if broken, a new lower low will be its' next target. I believe that the houses are placing their bets on next week's (9/18/2007) FOMC announcement and they are more ready to take the market one way or another regardless of what the Fed decides to do. |