Wednesday, May 14, 2008

A fall in retail sales.

Tracking the Dow on Tuesday(13/05/08)
9:30am--A 5.0 point gap-up,weak start.The long upper shadow is a sign of shooting star which can easily be translated to a graveyard doji.
10:30am--3 bearish candlestick along the way with graveyard dojis at this one hour of trading.Open a sell-short position.
11:30am--2nd hour into trading,a trading low touching only once.Close position and reverse buy-long position.The MAV is now 12,836.Look to sell when it reaches this bull-trap.Why?the main candlestick pattern formed at this moment of time is a black bar.Wal-Mart & Hewlett-Packard is the main drag.
12:30pm--The return of surging oil futures, and sobering words on the liquidity crisis from Federal Reserve Chairman Ben Bernanke is adding salt to the market.The index failed to touch the MAV,still hanging on with the bears.
1:30pm--There's a small hammer(hangman) seen so I've avoid taking new position.
2:30pm--The MAV was finally touched and slight pullback.Time constraint so no point being aggresive. Yahoo! gained ground after CNBC reported that billionaire investor Carl Icahn may begin a proxy fight at the Internet-portal operator. According to people who have spoken with Icahn, he has recently accumulated as many as 50 million of the company's shares, the report said.A small inverted hammer was seen on receiving the news followed by a sudden spike up.
3:30pm-- The Commerce Department said business inventories were up 1%,while the Labor Department said import prices, excluding the volatile effects of oil, were up 1.1% in April, the same as the prior month.A slight bad economic news dragged it down again.
4:00pm--The spinning candlestick at the closing bell at the MAV is a bullish sign again.
The main indicies on Tuesday is holding very close to the month's MAV.Good sign of a returning bull.
This month opening:12,818.34(01/05/08).
Drawing the candlestick base on today's closing,we're having a powerful spin.