Wednesday, December 15, 2010

Different day but same divergences

Well another remarkable day in that market internals all finished in the red with negative breadth and A/D lines and cumulative ticks finishing in at -40,000 but price actually finished positive on the day. Go figure. This is a very rare set of circumstances indeed. On another front bonds are getting smashed and yields are rising very quickly. Again it would appear that we are about to enter a new phase in the markets. I still think we will go higher from here but the fundamentals are definitely shifting. This may be the last leg up in this bull market before the bear returns.

1 comment:

  1. Hi MC, very timely musings thank you.
    I have been getting long vol of late so let's see what's up...
    dP

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