Market Precognition

The goal of this blog is to PRE-RECOGNIZE next several moves in the market
I focus on trading the S&P emini futures and T-notes futures.
A loyal reader will begin to understand the themes, memes, and sentiment that leads the market.

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Johnny Hom

Friday, July 25, 2008

RELAPSE - 7/24/08















During a Bull Move, which we have with our S4 regime, there is always a RELAPSE move, i.e., a big sharp sell-off. The tone of yesterday's sell-off as a quiet slide. There was not a lot of volume. Its like the mega-short-cover rallies suck all the oxygen out of the air, and so there is nothing for the market to fall back on.

The net effect of this move is to make bears comfortable again and not buy, or not short.

Look at the similarity between yesterday's move and the move on 4/11/08.

RELAPSE is just a part of REHAB, as Amy Winehouse knows.

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