Outlook for Wednesday

(3/13/12)

The Volatility Index (VIX) dropped to 13.99 today which is the lowest reading since 2007.  Thus there is an extreme amount of complacency in the market.   As we have seen in the past when the VIX has fallen from above the 28 level to back below the 16 level (points A to B) tops have followed.

Finally the current move up looks like the final 5th Wave of a 5 Wave pattern from the late November low.  Once again the target zone for the 5th Wave would probably be in the 1407 to 1425 range however with the VIX at an extremely low level it could peak at any time..

    

Wednesday's Buy Signals

 

Primary Secondary RSI Williams Fisher TRIN Volatility Money Money Put to VWAP Signal
RSI Long RSI
Long
Max/Min %R Transform S&P 500 Bands Flow Flow/
TRIN
Call Ratio   Strength
Signal Signal  Signal Signal  Signal Signal  Signal Signal  Signal Signal Signal  
No No No No No No No No No No No

When 6 or more Signals are generated that is a Strong Buy Signal
When 3 to 5 Signals are generated that is a Moderate Buy Signal
When only 1 or 2 Signals are generated that is a Weak Buy Signal

 
Wednesday's Sell Signals
 
Advance Fisher ROC VWAP Volatility Volatility TRIN Signal
Decline  Transform VWAP Percent Index Bands S&P 500 Strength
Ratio Signal Signal  Signal Signal  Signal Signal   
No No No No No No No  

When 5 or more Signals are generated that is a Strong Sell Signal
When 3 to 4 Signals are generated that is a Moderate Sell Signal
When only 1 or 2 Signals are generated that is a Weak Sell Signal

 

When a Buy or Short Signal is triggered numbers will be entered into the table below.
ETF Wednesday's Buy/Short Signal Entry Initial Stop Trailing Stop 1st Target 2nd Target 3rd 
Target
Signals Date Price Price Price Price Price Price
SPY

  

 

 

 

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