Friday, September 2, 2011

Weekly Update -- Patience!

LONG TERM TREND: The long term trend is still up as August did not give a sell signal. That is the only good news.

SUGGESTION FOR 401-K: I'm staying in the sidelines. Last week I stated that the market still has a lot of work to do to convince me that the long term trend may resume to the up side. Remember a couple of weeks ago I stated that once a decline of this magnitude takes place, it can take quite a bit of time for the weekly chart to tell us the long term trend up is ready to resume? Well, take a look at the attached chart. After the market rallied last week, it stopped dead in it's tracks at the mid channel line and closed lower this week.



Have a great holiday weekend and don't forget to fly your flag!

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