Once again, it's S&P watch. The market lost some momentum yesterday, and we may see prices remain flat for a few more days.
To our eyes, the S&P looks a lot like Microsoft (MSFT) a year ago September. Keep in mind that double tops are very rare in the market, so it is advisable to bet against them. September 2006, MSFT was faced with a double top. Momentum waned mid month. Then late in the month it powered higher and didn't look back for several months following.
Of course we can't know if the S&P will do the same here, but these types of patterns oftentimes repeat in the market so this idea serves as a bit of a road map to watch for.
No comments:
Post a Comment