Resistance Reaffirmed

It  becomes errily predicatable that market fail yet again when it approaches its 20 day MA.  It affirems the suspection that there is lack of conviction on the buyers' side.  Even though the selling is somewhat half hearted based on the volumn, it nevertheless showed unwillingness for investors to push this market higher.   So, any people on the "long" side of this market may need a little more "patient".

As some peoples pointed out here,  the chart pattern for DJIA/SP500  is a "ominious" formation of "pennant". According to chartist, if the market violates the support of that "pennant", we may see another ugly bout of selling.

However, IMHO, the chart pattern is a necessary condition not a sufficient condition for market to go higher or lower as pointed before.  It basically means you need watch out and be prepared. There is no 100% correlation between a pattern and subsequent market movement.   As a matter of fact, there are probably equaly as many failed patterns as successful ones.

It probably is more realistic that the market is actually in a trading range, for DJIA, it is 12000-12700.  there is certainly no catalyst for pushing market higher, but probably, all the bad news has already come out.

It is a tough enviroment to trade because of the news driven and skitish sentimentals.  Unless you have all the time to watch the market closely minutes by minutes, the profit is hard to come by.   unfortunately, time is a luxury that I cannot afford.

Steal industry has been on a tear lately, SID and MTL have been rising for the last few sessions, but is it the end of the short run?  especially SID, if it is down tomorrow, maybe we can have a quick short trade. Obvously, one has to be careful when shorting a strong stock like SID

P. S.  I did not recall I re-send my blog of yesterday  to the board before, I hope it is me who somehow inadvertently reposted again (but how ?), otherwise, there is a breach of security which made me very uncomfortable