Friday, August 28, 2015
The good and the bad about the end-of-week charts pre-open
Still scary to look at, but despite the blather in the lamestream media the S&P 500 has still recovered the entirety of that idiotic Monday morning collapse, and is already back above last Friday's close.
Again, despite the blather of the lamestream media, QQQ has recovered all the way back to last Friday's open.
Note that the EMA(10)s are on these charts, but after such a vicious move you should really pay more attention to a shorter EMA. Except, really, this was such an outlier move that no EMA can really be expected to say anything sensible for a while.
But in any case, you should be framing your deliberation about the US market not in terms of "OMGWEALLGONNADIE", but rather in terms of "on Monday people were so retarded that they puked GE down below $20 and Ford below $11". As in, the recovery from such stupidity has been going on all week now, but it's still not done.