The Stock Market Week - 10/31/2008 | ||
| It was an up week for the major markets. For the week the Dow Jones Industrial Average gained 946.06 points, or 11.29%. The Standard Poor's 500 Index gained 91.98 points, or 10.49%, while the Nasdaq Composite gained 168.92 points, or 10.88%. Our Weekly Picks portfolio gained 17.24% for the week. All three major indices have formed a short-term descending triangle pattern. Usually, in a mature trend a triangle pattern is considered as a reversal pattern. | ||
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| Standard & Poor's 500 Index Trend Analysis Standard & Poor's 500 Index is in a long-term down trend that started on 10/11/2007 at 1576.09. The third (III) wave down has started on 5/19/2008 at 1440.24 and lost more than 40% reaching 839.8 level on 10/10/2008. The chart has formed a short term descending triangle pattern. The chart retested its low on 10/28/2008 and rebound sharply from 845.27 to 984.36 just is four days. The sharp rebound from the support level confirms the end of the short-term sub wave 3, and it may be the end of the long-term wave (III) as well. The weekly Lane's Stochastic is still oversold, but other daily and weekly technical indicators are natural. The resistance level is around 1070, and then 1140. | ||
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| Presented by www.thegreedytrader.com Research Group. | ||
Sunday, November 02, 2008
Major indices have formed a triangle chart pattern
