Tuesday, March 17, 2009

OK FREAK-OUT over CRASH OVER, for now

looks like we getting a normal correction. Watch it, enjoy it.

DG

A word to the wise ->

BECAUSE the DJIA [ most watched ] has so rapidly bounced upwards off the 6400 level and almost reached the 7500 level, as called for in ONE Scenario, I have been soul-searching and researching every possible technical indicator at my disposal to determine if this "CORRECTION" could turn into a DEBACLE that took us straight to 5000. Yes it is possible, at least from a view of one Breadth Momentum indicator. NO, IMO, it is not the likliest thing to happen, but you have got to admit, stranger things have happened.

I am watching ASIA and will be sampling the Pre-Market. Several Indicative measures including a number of flavors of MACD Do NOT favor this extreme development manifesting, but that doesnt mean a hard correction wont scare the liver out of you.

SHOULD you feel UNTOWARD developments unfolding, you may HEDGE by ACQUIRING
TZA, which is a BEAR ETF, reproducing 3X the INVERSE Move in the $RUT. Here you must DYODD & DYOHW. Even in a basic downturn, TZA will move hard and fast. DO NOT get into TZA unless you know wish to take that risk in order to hedge your NON-PM Holdings.

Two of Three of my indicators combining differing processes DO NOT CONFIRM this manifestation of a straight move to 5000 now. That may or may not change, but I will post any changes as soon as I know them.

Good Luck All,

DG

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