{"id":4852,"date":"2011-09-14T07:22:16","date_gmt":"2011-09-14T12:22:16","guid":{"rendered":"http:\/\/leavittbrothers.com\/blog\/?p=4852"},"modified":"2011-09-14T07:22:16","modified_gmt":"2011-09-14T12:22:16","slug":"before-the-open-sep-14-3","status":"publish","type":"post","link":"https:\/\/blog.leavittbrothers.com\/?p=4852","title":{"rendered":"Before the Open (Sep 14)"},"content":{"rendered":"

Good morning. Happy Wednesday.<\/span>
\nThe Asian\/Pacific markets closed mixed but with a bearish bias. South Korea dropped more than 3%; Taiwan more than 2%; Australia, Indonesia and Japan more than 1%. Europe is up across the board. France and Germany are rallying more than 2%. Several other indexes are up more than 1%. Futures here in the States point towards a moderate gap up open for the cash market.
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\nLast week I briefly talked about how flag or rectangle patterns, even though they have parallel trendlines, can get “timed out.” This is because the size of the pattern must be proportional to the size of the move into the pattern. Such seems to be the case right now. The pattern I”ve been following for the last couple weeks needs to resolve down in the next day or so or it becomes invalidated. Here’s the chart. The bears don’t have time for another move up. If a move plays out, I’ll delete the trendlines and start looking for something else.<\/span>
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\nThat 60-min pattern is a bigger picture pattern. On a shorter term basis, a bull wedge is falling. A lower high and lower low with converging trendlines is one of my favorites for trading individual stocks because I like stocks that move counter their prevailing trends and especially like ones whose trendlines converge because pressure builds.<\/span>
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\nI keep telling you to be flexible and open minded, and I mean it. Despite everything that’s gone on in the world recently, the market is unchanged over the last 5 weeks. Long term I’m bearish. Short term it’s entirely possible we get a little boost into the end of the week.<\/span>
\nheadlines at Yahoo Finance<\/a><\/span>
\ntoday’s upgrades\/downgrades<\/a><\/span>
\nthis week’s Earnings<\/a><\/span>
\nthis week’s Economic Numbers<\/a><\/span>
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