There is a natural tendency to seek the Dow and the S & P 500 and 100 as relating to the likely direction of the next stock market in general. However, the Dow Jones only has 30 issues and change its composition from time to time, as we saw, and always includes two bank stocks, which may have nothing to do in an index "industrial" everything. The S & P 500 is much broader, but this is not representative of the entire network, either.

Today, Friday, June 5th, 2009, Dow Jones industrial average left behind a "wave of high-Shaper" Bar Candlestick, which warns of a possible trend change. The S & P price 'Bars were spinners too, but could be described as "arbitrary."

Bars price NASDAQ "tell a different story., They can be characterized as "Dragonfly" patterns or "quasi-Doji hanging men" on top of the uptrend. In each of the composite index Nasdaq and the Nasdaq 100, we see that the closure was almost the same as opening and the opening and closing almost at the upper end price range for the day.

We take these modes to be bearish warnings of possible trend reversals. It is obviously in each case that the end of the trading day of the bulls have their way – to the force prices to a level very near the opening price and the high price of the day.

The problem with these structures is that they are dwarfs. They are too heavy. Bulls to repeat his performance. It must be done to prevent the closing prices below those of today.

And if prices NASDAQ closed lower on Monday confirmed bearish signals Candlestick. This, in turn, confirm Cross bearish signals issued to the indicators. This, plus the price of vanilla bar in the S & P and the High Wave Shaper Dow Jones, would strengthen the likelihood that prices will fall everywhere.

William Kurtz June 5, 2009

About the Author:

The author publishes his investment newsletter at Candlewav.com twice per week and his Action Suggestions three times perweek. The Action Suggestions review the major Indexes and suggest safetystops for them; review Gold, Silver, Crude Oil, and the Dow Industrials individually; and include the Commodities Daily Report. The Commodities Daily Report is available separately. CandleWave offers its Candelaabra technical analysis system Operating Manual and a Joint 30-day trial together with Genesis’ “Trade Navigator” platform at http:///www.candelaabra.com/” target=”_blank”>www.candelaabra.com/”>http:///www.candelaabra.com/ email: info@candlewave.com

Article Source: ArticlesBase.com – Watch Those NASDAQs! Bearish Candlestick Patterns are Abroad in the Land

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