11/8/09

Who will blink first?

Tomorrow the world market opens with Australia, Japan and China


Here, in Israel, we had a gap at the opening, but then the whole day the market stood still, at one level as if waiting for the rest of the world before deciding which way to go .


Which index will blink first? Australia's support is at 4340, resistance at 4895.

On the graph we can see the RSI in negative divergence, while the index rallied. Also Macd might form the same pattern as in June-July, meaning lower lows in the index.
 
The country of the rising Sun, Japan, is more promising. The Nikkey made a double bottom last week, and now with the positive divergence from the RSI, might form a W pattern. Target: 11170. Support at 9628.
 
Astrologically, by the time the market opens in the East, the Moon will conjunct Mars in Leo. Venus is weakened in Scorpio, forms a sextile to Pluto. But the square between Saturn-Pluto hangs up there as Damocles' sword. For those who do not know the story, here it is: 
 
  Once upon a time, lived a very rich king, in southern Italy. His name was Dionysius. "To all appearances Dionysius was very rich and comfortable, with all the luxuries money could buy, tasteful clothing and jewelry, and delectable food. One of these ingratiators was the court sycophant, Damocles. Damocles used to make comments to the king about his wealth and luxurious life. One day when Damocles complimented the tyrant on his abundance and power, Dionysius turned to Damocles and said, "If you think I'm so lucky, how would you like to try out my life?"



Damocles readily agreed, and so Dionysius ordered everything to be prepared for Damocles to experience what life as Dionysius was like. Damocles was enjoying himself immensely... until he noticed a sharp sword hovering over his head, that was suspended from the ceiling by a horse hair. This, the tyrant explained to Damocles, was what life as ruler was really like.


Damocles, alarmed, quickly revised his idea of what made up a good life, and asked to be excused. He then eagerly returned to his poorer, but safer life. "(Wikipedia)

This is how I see the Saturn-Pluto angle. In order not to be surpised, keep your stops close. A change in trend is close.

8/11/09