When I was in college, one of my favorite courses was a history of the 1960s in America. A prominent illustration in one of the books was from The Realist which featured The Disneyland Memorial Orgy (that was later beautifully colored). You can click on the image below to see the big version, which features the Disney characters at the time defecating, using drugs, urinating, practicing exhibitionism, and engaging in various and sundry manner of coitus. Disney, of course, is a hundred times bigger (and a hundred times worse) today, so the take-down is all the more appropriate.
Slope of Hope Blog Posts
Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
The SPX daily RSI 5 closed at 32.79 yesterday, and the retracement is now larger than two of the past 29 signals since the start of 2007. SPX has reached a level where a low wouldn’t be an extreme statistical outlier. This isn’t a false signal that is part of a larger sell signal forming however, so once I strip out the four of those, then 20 of the remaining 25 signals made it to the target level at 30 on the RSI 5. This retracement may well make it there as well.
There is something else to consider as well. SPX has broken below the daily middle band, and confirmed that break by holding below it yesterday. When this happens then there will be a test, most of the time, of either the daily lower band, or a significant moving average. My eye is drawn to the daily lower band at 1976.62, and the 50 DMA at 1972.56. Both of these are decent targets for any further move down. SPX daily chart: (more…)