Oct 4, 2011

Possible Neutral Signal

Today all major indices gapped down rigth below August lows and rallied violently since then. It looks like at least short term reversal is due. If strength holds into the close a neutral signal will be generated. Since I don't believe this is the final bottom before a longer rally, I will be looking for another shorting opportunity at MA50. However, we must stay flexible in case rally turns out to be strong. I also closed my SDS (2x inverse SPY ETF) long postition today an hour after open with a 15% profit.

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