Welcome to Q4-2014

posted Oct 1, 2014, 9:26 AM by Katie Shook

Pricing patterns continue to be weak.  Both daily and hourly charts are picking up momentum to the downside.  The support level to watch is about 1966.  If the market moves below this level it’s probable we’ll test the 1957 level (the 100-dma).  The last test of this technical support level was in early August.

Overnight the futures dropped a few more points on the ES, indicating we’re likely to open a few points down and test this area again.  The thesis of “buy the dips” is being challenged right now.  For months now the trick has been to boldly accumulate on this kind of price movement.  It’s getting more and more difficult to have conviction about this bull market as the system keeps generating exit signals and the 2000 price level gets further in the rear view mirror.

It’s times like this attitude and opinion can betray you.  Process process process!!!

Daily Digits

Daily Digits 10-1-14

Weekly Estimated Range

Weeklies 10-1-14

Chart of Interest

Short-term Momentum 10-1-14

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