Saturday, May 10, 2014

BPSPX Bullish Percent Daily Chart

High drama with the BPSPX signal. The six-percentage point reversals identify a trend change and the move across the 70% level strengthens the move. The double whammy sell signal was in place during the second week of April. A bottom occurs at 65.20. The bulls move price above 70% to receive a market buy signal but this is odd since typically the six-percentage point reversal would occur first. So technically, there is a standoff. The bears remain on a market sell signal since it had the last 6-point reversal. The bulls receive a market buy signal moving above 70. Thus, call it Neutral and undecided overall.

The BPSPX drama verifies the sideways choppy markets. A decision needs to be made on market direction but neither side has the strength to win. Check BPSPX each evening since a move above 71.20 firmly provides the double whammy buy signal and the SPX is likely going to 1900+. If the bears place a lid on the BPSPX right here right now, and push price back under 70, the downside selling party will resume. Since price is 71.00 a hair away from 71.20, the story will be told on Monday or Tuesday. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

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