| Weekly Trend: | Flat | |
| Daily Trend: | Flat | |
| Daily Momentum: | ___ | Up |
Big strong day in the local market which has now retraced 50.0% of the Jan 11 – Feb 9 decline. As is always the case. we expect these retracements to travel back to the 50.0% to 61.8% level before reversing again. That said we need evidence that weakness is entering and as yet we’re not seeing it. Todays strength was enough to tilt the daily and weekly trends back to flat. Another two days of this will see them revert back to bullish and our systems will kick in again with new buy signals. A close look at the S&P 500 chart shows a 3-wave decline into the early Feb lows which is now reversing sharply. I just wonder if yet again we’ve got a false downside pattern and that the market will kick back up in that grinding fashion that we’ve seen since September? Difficult trading conditions without doubt.
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