McClellan Well-Poised For Heartbreak ~ The Risk Averse Alert

Friday, August 09, 2013

McClellan Well-Poised For Heartbreak

Looking further under the covers we find substantiating yesterday's dire Elliott wave-based view is the NYSE's internal state, shown to be weakening considerably on an all-important relative basis...

Contrasting the NYSE Composite's early-August peak with its prior May peak, the NYSE's McClellan series has significantly degraded, and really is well-poised to accommodate heartbreak ... even to yesterday's most imminent prospect minimally sinking major indexes to their respective 200-day moving averages, which very well could be merely one step on the way to a much, much worse disaster (as in major indexes quickly falling to within ranges last seen in the 1987-1994 period, a la the ghost of 2008 whose name was "Where'd that come from")...

Word on the Street
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© The Risk Averse Alert — Advocating a patient, disciplined approach to stock market investing. Overriding objective is limiting financial risk. Minimizing investment capital loss is a priority.

Analysis centers on the stock market's path of least resistance. Long-term, this drives a simple strategy for safely investing a 401(k) for maximum profit. Intermediate-term, investing with stock index tracking-ETFs (both their long and short varieties) is advanced. Short-term, stock index options occasionally offer extraordinary profit opportunities when the stock market is moving along its projected path.

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