The Nasdaq is really strong today, mainly because of Google, and not only is trading above its upper bollinger band, but it also opened above it. This is extreme and another close above it today would signal a capitulation to the upside in my view.
How to Use Bar Patterns to Spot Trade Setups.
In yesterday's post I mentioned the VIX was unfolding in a 5 wave impulse rally and today it finished that five wave move I'm calling Micro wave (1). If correct, a major uptrend in the VIX has begun which means a major downtrend for stocks. Also keep in mind that this 5 wave VIX rally occurred just after the second VIX stock market sell signal executed. So its timing is good.
PLEASE NOTE: THIS IS JUST AN ANALYSIS BLOG AND IN NO WAY GUARANTEES OR IMPLIES ANY PROFIT OR GAIN. THE DATA HERE IS MERELY AN EXPRESSED OPINION. TRADE AT YOUR OWN RISK.