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Monday, May 15, 2006

Here is a picture of the entry and exit on the short term trade I took, the red carrots indicate the entry and exits. Additional research I did this weekend tells me that this is likely the beginning of a significant drop. Time will tell if that is correct.

I will trade according to my systems, but this is what I am thinking is likely to occur. Notice the heavily short position of the commercials. This is a sign the insiders were going to the sidelines during the recent rally.

2 comments:

powayseller said...

What is the asset? S&P500?

Chris Johnston said...

S&P 500 is the S&P 500 index of 500 stocks. That chart was of the futures contract of that index.