Tuesday, August 04, 2009

Market Trend Change on the Long Term Chart

The easiest way to watch the intermediate to long term trend in the market is to simply watch the 200 day moving average. During the down trend, it sloped downward and acted as resistance. That resistance recently broke, and the slope has now turned flat and looks poised to turn up.

The market is extended, so it's tough to get long here. However, a pullback would provide a great long opportunity.

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