The Head And Shoulders Pattern For The Global Dow Index is still in limbo.
This weeks post is going to be basic, not much has changed from the week before. The next pivot point is still September 28, 2012, that pivot point could be a breakout out of the resistance line on the head and shoulders pattern or we could actually have a move down. I suspect that fund managers are behind the gun to make their portfolios look good before the end of the month, so there is good probability of some sort of rally into the end of the month. If this head and shoulders pattern doesn’t go bearish (the way head and shoulders patterns end up the majority of the time) then it’s BUY-BUY-BUY.
However, if the Head and shoulders pattern holds true to it’s nature then we could see the 2009 lows sooner than later. Right now we are in no man’s land with price on the Global Dow Index. The world is really one market now and the Global Dow Index shows the way.
Swing Trading, The HUI Index is overbought, however, I don’t think we are in store for a major fall down in price, even though we should see a pull back.