This is the shorted and probably final edition of the series and it becomes clear that SPX seems immune to the death rate trends. My expectations that increases death numbers would lead to increased negativity in the market has been twice shown to be unfounded. Broadly speaking the market doesn't believe the official numbers, or they do believe in the numbers but the affect of international quantitative easing is enough to pump everyone's longs anyway.
The middle chart shows that bullish divergence on the MACD histogram can help predict an increased intensity of an uptrend as deaths can only go up. The histogram with bullish divergence also helped find a local low on rate of change. Funny thing, I thought I had done a write up for the bullish divergence on the 3 day death rates as I had used it to go short, but I cannot find it in my chart history and it did call for the September slump in SPX. Which is annoying considering that most of the SPX stuff I have put up between April and now was used for me to flip my position when it was wrong. Damn it.
On the left we see that the weekly MACD has been crossed "bullishly" for two weeks and the rate of change bottomed out just prior.
The right chart shows a whole lot of bearish divergence on the histogram and MACD itself and so this would suggest that a buy the dip opportunity is revealing itself. Recent history has shown that will be quickly bought up in a series of V recoveries.
The middle chart shows that bullish divergence on the MACD histogram can help predict an increased intensity of an uptrend as deaths can only go up. The histogram with bullish divergence also helped find a local low on rate of change. Funny thing, I thought I had done a write up for the bullish divergence on the 3 day death rates as I had used it to go short, but I cannot find it in my chart history and it did call for the September slump in SPX. Which is annoying considering that most of the SPX stuff I have put up between April and now was used for me to flip my position when it was wrong. Damn it.
On the left we see that the weekly MACD has been crossed "bullishly" for two weeks and the rate of change bottomed out just prior.
The right chart shows a whole lot of bearish divergence on the histogram and MACD itself and so this would suggest that a buy the dip opportunity is revealing itself. Recent history has shown that will be quickly bought up in a series of V recoveries.
And I promise every Floridian that you will all be rich... because we're gonna print some more money! Why didn't anybody ever think of this before?
~Nathan Explosion
~Nathan Explosion
