TA Top40 Head and Shoulders?

[Zirk]

Anyone see the pattern LS4-29Apr, Head 29Apr-11jun, RS11-20Jun? If this is the case neckline in process of being busted and downside to approx 26350. OMO Comments pse

[#2]

Looks like it. I am loaded up on shorts like you wouldn't believe.

[#3]

If it is a h&s, the neckline hasn't broken yet. Again, if it is a h&s, a failed h&s invariably goes exactly the opposite way and very quickly (see chart for TKG last September) ...

[#4]

Ja...I have to say things are not looking good....our only saviour might be people like Victorc....not being critical...may be right to go short....what I am saying is that the shorts may be the only thing causing any of the pathetic buying we are seeing....

[#5]

that is shorts taking profit or getting squeezed from time to time...the Vix is far from its highs...so we may see quite a bit further downside before we even see any meaningful rally again...

[Electrox]

Chartist what do you mean by the short players getting squeezed and where can one get see the ViX reading?

[#7]

Electrocox....this is exactly what happened this morning....rallies like we had at the open cannot be sustained....ftse was up 30 pts at one stage ...now down 80 pts ..rather we were down 80 pts

[Electrox]

phyco-analysist of the market - does one only notice these things from experience? Anyway I envy your understanding of the markkets. So how did you know it was unsustainable?

[#9]

Electocox.....its very very simple....just look for the path of least resistance (with the correct timeframe in mind of course)) .....thats all.....so thats where its easier to make money.....you see you gotta have been short that is squeezed to understand the rallies....nothing to do with pshycho analysis and everything to do with my own experience.....

[Electrox]

Pain been the greatest teacher from your experince? well i got half of it right. Chartist its a pity I cant view your screencasts any more since I was learning a lot from you and now cannot go over any of them again. is there a way to view your scrrencasts? especilly your post on scalping.

[#11]

Chartist, regarding your comment on the bear players causing the buying - The only buying I commited recently was to foolishly cover Didata too quickly, and to go long on KIO of which I'm smiling over tonight. My only worry is that Mittal, Aveng, Jse, Naspers, Sappi, TigerBrands will all snap back tomorrow, hurting my not-in-the-bank-yet profits. Warning - any snap back might be forceful after this down rally, as there are a lot of shortists out there at the moment.

[#12]

Ja was agreeing with you .....dunno if I conveyed that clearly

[#13]

And I had to cover a few of those yesterday, adding to the dead cat bounce. Relief rally might last a couple of days more.

[Electrox]

So chartist does today qualify for "short the Rally" ?

[saash]

What has caused the surge, anyway? Seems out of place with the Metro striking.

[Electrox]

When was the last H&S formation on the Alsi? and what happened

[#17]

yes..thats exactly what I mean...doesnt mean you cant make money on the rally...you just gotta remember that it wont last and that the real move is down....its about changing your parameters thats all...so the large positions are put on on the short side and the smaller scalps on the long side...this morning's opening rally was clearly a short covering rally....u only have to look at the market depth to see this...

[#18]

this was in reply to Electrocox's short the rally question

[Electrox]

This has happened 3 days in a row now on the opening. I get your current market analysis now. Finger on the button all the time. Are you just using the market depth from DWT platform?