thetechnicaltake's blog

There is only 1 interpretation for this finding: bear market.

If this were a stock, the analysts and pundits would be all over the "breakout" ---blah, blah, blah.

This will be a comprehensive review of gold technicals utilizing the SPDR Gold Trust (symbol: GLD).

Charting this market is similar to tracking the moves of a squirrel crossing a busy street.

Without buyers stepping in, extremes in bearish sentiment will be just that - extremes in bearish sentiment.

The "fat pitch" that was looking good has fizzled into a stinky, foul ball. In all likelihood, we are looking at a bear market.

Short covering is unlikely to be the fuel that propels prices higher.

Investors remain bearish, and buying into last week's weakness continues to be the right play -- so far. However, a positive outcome is far from certain especially since there is an apparent lack of conviction amongst the "smart money".

As hard as it is to believe, last week's "fat pitch" is this week's "sweet spot".

Investor sentiment has turned bearish here, and this is our "fat pitch".

This is my wish list and it would be better if....

After 10 weeks of being "all in", the bulls have retreated leaving investor sentiment with a neutral reading this week. This seems kind of odd as you would think that lower prices would be welcomed by those of bullish persuasion. Oh well! The "sure thing" has turned out not to be a "sure thing", and those who waited for the all clear are either back on the sidelines or have positions underwater.

This article is for all those bull market geniuses, who buy the hype and who have been fooled into believing, yet again, that "this time is different".

After 8 months of indifference to the constant and persistent rise in stock prices, the "smart money" has finally turned bearish. It is time to pay attention.

While the significance of Friday's high volume reversal has yet to be determined, the set up has the making of a market top - the majority of investors are poorly positioned and the precipitating event (i.e., the government's charges against Goldman Sachs) was not foreseen.