THE DOT - if this turns orange or red be alert

Wednesday, October 28, 2009

NDX update

The NDX has topped out clearly and is on the way to make a fast and ugly correction. Now also the time frame of wave 5 up has been completed but we will have a double top scenario as we will see a yearend rally testing the highs again. For now sell any strength as the news front will get ugly the next weeks til mid November.
That the markets are manipulated was again proved by the astonishing and obvious fact that we had unusually hight put buying around the tops and insiders also bought ultra short funds as the RYDEX clearely shows against all logical 'normal' action. As expected the 'gang' took action and started to short the market themselves in order to get the regular players short as well. Thats a classic strategy in order to prepare the next wave up as you may easily grasp yourself. We should see a retest of the 1580-1600 area - thye minimum pullback is 1650 the max 1500 ( less likely for now). The big benificiary of the Tech sector Jupiter is leaving the Uranus sign around yearend ending the outperformance of this sector.

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