QQQQ/SPY.

I am going to through some longer term charts to see what kind of ideas I can get for the opening week.

Here is a weekly chart on the Q's with both SPX / NDX McClellans

What I am seeing:

The CI is flattening out on the weekly timeframe. That doesn't necessarily represent anything just yet. A trend reversal is very possible. The market could continue to the upside and the indicator would continue moving upward. It is just a small point to look at.

The McClellan is signaling a movement to the downside as well.

I like to look at the long term view because it gives me a look at what could happen.

I am now going to take a look closer at the daily chart of the SPY.


The charts are not giving clear indication here.

What I think may or may not happen.

The evidence on the weekly charts shows that more downside movement could occur. However, the overbought oversold shows oversold, but not the kind oversold strength you could short (i mean as farther downside movement) or buy into.

From what I see on twitter, articles, etc the herd appears to have jumped back on the short side. I see quite a few people piling to the downside, and it may be time for another early push to the upside. There is no fundamental backing for this kind of move, but we will see when the market opens.

R