We failed to elect a key weekly bullish reversal but the main reason for the entry is because Armstrong has stuck his neck out here and said we needed to close this week above 26951.82 to imply a further advance. Also the 1st of July has been a turning point with the next showing up as the 8th and normally one turning point is followed by the opposite event on the next, on the energy model we are seeing the market making new intraday highs while the energy models are declining which indicates this rally is not sustainable. On the weekly energy model we are seeing the energy peak before the price high which indicates we may be forming a temporary high. The energy model is very important to understand and helps you to identify when the market is over-bought or over-sold.
Th exit point is the most immediate daily bearish reversal which lies at 26536.32 but we have crash mode technical support at 26617 which may also offer support.
Thanks Gumbi.
The part I don't get is this: "the main reason for the entry is because Armstrong has stuck his neck out here and said we needed to close this week above 26951.82 to imply a further advance."
What do you mean Armstrong came out and said that? It should be the Socrates system giving clear signals right?
Correct me if I'm wrong:
26951.82 is a daily bullish and as we not elected that daily and because the 8th is a turning point, in combination with declining daily energy, means we might go down. The planned exit is at 26536.32.
To be honest, for me, a 1,5% gain on a trade is a very small profit (I'm not a daytrader). After Friday's job report and the fact that we are so close to the ATH it does make sense that we move down a few hundred points, so for me this trade is not very convincing. But let's see what happens. I agree with Anonymous that we would need the report.