The 10 Day Rule

Corrections within the rally since July have been few and far between, but there is a pattern. Ten days of strong rallying have led to corrections. There have been 5 instances of ten day rallies. After the first 10 day rally the market went sideways for a few days and resumed its upward march. The next 3 times the market corrected between 4% and 6%. Monday marked the 5th ten day rally. That is the reason I am looking for at least a 4% to 6% correction. At best, the market goes sideways.

4 comments:

MarketCynic said...

You are going to get your selling opportunity today. Market should remain strong for the 1st half of the trading day. In the afternoon, all bets are off.

Anonymous said...

well, good call marketcynic

Tsachy Mishal said...

nice call. especially since you said up in the morning and down into the close.

Anonymous said...

Yeah nice call dawg.

I hope you got short the thing.