Timing The Market

Less Time Pushing Higher

The danger of this situation can’t be over emphasized.

Not only do market levels and depth of penetration need to be watched but also the time; time spent pushing higher or lower.

Biotech SPBIO, indeed moved higher and penetrated our previously stated 6,384.50 level; here’s the important part: As of now (11:34 a.m., EST), it’s struggling to hold that level.

Looking at leveraged inverse fund LABD, on a 30-minute basis, the market itself is showing, each successive thrust lower (higher for SPBIO), spends less and less time at the new level.

Like a drowning swimmer coming up for less air each time.

The market (SPBIO) may get itself together and somehow continue higher.

However, at this point, we’ve got a hard stop; this morning’s LABD low, of 20.90 (not advice, not a recommendation).

SPBIO, Leveraged Inverse Fund LABD: 30-minutes

Today’s close is likely to be important.

A failure to push lower for LABD, may indicate “we’re done” and now ready for a decisive reversal.

Stay Tuned

Charts by StockCharts

Note:  Posts on this site are for education purposes only.  They provide one firm’s insight on the markets.  Not investment advice.  See additional disclaimer here.

The Danger Point®, trade mark: No. 6,505,279

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