38% Fibonacci retracement of the NASDAQ's last leg down was a cue for profit taking. Friday's gap up due to MSFT earnings was a perfect exit strategy because it brought us all the way back to the last breakdown point. Declining volume on this week's bounce is typical of a bear market bounce. Friday's bearish engulfing bar implies further weakness ahead of the FED on Wednesday. The economic calendar is loaded this week starting with New Home sales tomorrow at 10:00.Earnings this week from internet heavyweights - YHOO, AMZN and GOOG.
2 comments:
I was actually thinking that this week was going to be Bullish week but I have faith in the Fibonacci numbers.
I'm glad I'm still 70% cash! :)
I see the same thing.
Monday:BounceOrDie,BearishEngulfing
TheFinancialNinja
Post a Comment