Yseterday's afternoon post shpwed several charts of the SPY showing distribution into the close. This a.m. it looks like we'll open lower. I''ve posted several charts showing hHead and Shoulders Top patterns in the SP-500 and the QQQQ, but they're in a lot of the indicies including the Russell 2k, Dow 20 Transports, The NASDAQ Compositie, the S&P Mid-Cap 400, S&P Small Cap 600, the Utilities, XLF, the Semis (which just saw their first valid sell signal on several of my systems) and you might even make an arguement for an ascending H&S in the Dow 30 although that index has made a higher high nullifying the obvious , usual H&S, there seems to be an upward slanting neckline and under that scenario, the Dow-30 would still be within the normal range of a right shoulder.
Below are some charts that I created a quick cumulative volume indicator for, note where volume picks up and where it falls off-typical of H&S tops.
Yesterday the price/volume relationships were solidly bullish with rising price and rising volume taking an overwhelming majority of the pie. Today will be an important day to see if this market can follow through and nullify more of those H&S tops by making new highs or if it was as Jack Ablin, chief investment officer of Harris Private Bank in Chicago said yesterday, "Central banks around the world are continuing to prop up the economy and support risk taking. There's very little regard for valuation," "It looks to me like a pure risk rally and it is consistent with the G20 comments." ?
Here's a Video from Adam covering the Dow 30 and asking "How long will the Dow stay Bullish?" (Click on the link)
