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Last Update: 6.7.13
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5.26.13 “Patterns $DIA $SPY $QQQ $IYT $IWM $XLF $MDY $SMH“
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5.28.13 Tuesday
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$DIA: Entered Short Positions @ $154.46
You are looking at $DIA daily chart and the uptrend channel which $DIA has been completely respecting last 6-7 months. On 22nd of May, we threw a shooting star “like” candle with high selling pressure, consolidated for few days and then this morning, it gapped up. As long as sellers keep the buyers in check at the top of it’s channel, I do believe that we could have short-term pullback down to the support (bottom) of the channel.
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5.31.13 Friday
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Holding Full Short Positions
$DIA broke down towards to end of the close. If you look at it closely, it formed mini double top at that top of the channel resistance and today we broke the neckline by breaking $151.60ish level. We had similar formation back in December of 2012 which that mini double top lead $DIA to 4 days of short-term bearish run before finding support.
Big question is are we going to find support at the bottom channel support or will it continue to break down. Depending on the price action on Monday, either I would continue to hold or take profits.
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6.5.13 Wednesday
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Closed 90% of the Short Positions @ $149.71
Today we closed below this uptrend channel resistance channel and that’s essentially pretty bearish signal especially when it happens with high volume like today. I do think it’s going to come down to fill that gap at around $148.00 and this thing starts to look like it wants the market correction.
price action on Monday, either I would continue to hold or take profits.
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6.7.13 Friday
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