Professor’s Comments April 16, 2014

Posted by OMS  at April 16th, 2014

Even though the Dow rose 89 points yesterday, not much changed with our Pattern, Lists, or indicators.

Last night, The Professor highlighted 26 new stocks as longs. So he’s wide awake now and could be telling us that a new rally wave in starting to develop. However the DMIs on the Dow (DIA) and QQQ are still negative and the pattern still suggests that we should have one more leg down before a new uptrend begins. So far I can only count four waves in the final wave of the 3-3-5 Flat. The final wave down in the pattern should have 5 waves before it completes.

With all of the inverse ETFs still on the Dean’s List and what appears to be an incomplete pattern, the only sector I will be looking to trade today is energy.

On Monday, Emeritus highlighted Schlumberger (SLB) for the Honor Roll. It finished the day up 1.38 points after having formed a small consolidation ‘Blade’ for the past two weeks. Halliburton (HAL) also had a strong day, causing Emeritus to highlight it last night for the Honor Roll. So in the past two days, Emeritus has highlighted two stocks from the same energy group. Hmmm?

If I trade anything today, it’s going to be energy. Just about all of the other sectors I monitor still have negative trend scores. I’m just being patient.

That’s what I’m doing.

h

Not sure of the terminology we use? Check out these articles

The Hockey Stick Pattern
The Creation of Waves and Trends
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