Monday, August 3, 2009
The DAX is in a week 11 count and also goes for the euphoria high pattern in sink with most other markets we now enter overall difficult territory as we are trading above weekly Bollinger and that always puts a brake on the action. As we are now at the SPX target area of 1000 with an exact level around 1020-30 to be reached within 2 weeks you should start selling longs as investors get a last chance to exit this market on overvalued levels. The Dax has a bit more of potential in some area's the index has reached the 38% retracement level around 5500 as the SPX around 1010 but taking out the big handle of 1000 might lead to a short exaggeration as fools rush in. Its a not a coincidence that around the highs the biggest morons make bullish calls like Greenspan or Green from HSBC - they never saw the tops but thank God they are experts in calling bottoms - wait did they not call it in March - I barely remember anyone.
Posted by getagrip at 10:09 AM