Wednesday, January 12, 2011

Head & Shoulders still Alive but Just Barley

Well both Head and shoulders are still alive but just barley. Both closed on or very close to their neck lines but as long as we don,t  cross over and close with a breach of the neck line they are still in play on this pattern. I am afraid the powers to be do not want to let this market flow naturally and are doing everything in their powers to prop this market up.That is one big reason I have not traded these patterns. We will have to see what the close brings us tomorrow. Just one thing is when patterns break down they will usually run hard the opposite way so be very careful and always use your stops. The big thing in markets like this is protect your capital. I am sitting on 90% cash because I just don't trust the manipulation in this market so again due diligence and talk over any trade with  your stock consultant or broker before making any trades.


No comments:

Post a Comment