Shorters technical thread

Now short Cisco @ 18.80 (backtest of broken neckline).
Target 15.80 - there is some support around $16.

Added small amount to Dow short @10160 (ending diagonal) behaved perfectly with 5 waves in the diagonal.

Hourly stochastics have turned for down from overbought on all 3 indices, indicating further downside tomorrow.
15min stochastics at or near oversold indicating limited downside on tomorrows open, however small consolidation at the close may be complete or near complete.
Smart money (last hour of trading) has sold off the last 2 days.

Dow popped above the 200dma but finished the day below (200dma now at 10,100).
Consolidation at the top indicated a reversal (NAS and S&P looked more bullish but didn't turn out that way.)
Peak at 10,160 is a potential double top formation from 6/12, with 2nd top on lower volumes.
Target for triangle consolidation at 10,200-250 not quite met today. Dow not strong?

Nas is in a well defined down channel from 6/12. Looks to be 4 waves complete and 5th just started.
If Nas gets near 1900 (significant support) over the next 2 days I will consider exiting short position looking for a slightly higher entry.

S&P stopped at 1160 resistance today (got to 1159.2).

Watch the following support levels for a possible bounce point.
Dow 10030-40, 10000.
S&P 1140-42
Nas 1940 and 1935 (200dma).

JPM looks to be a short candidate on a breach of $35. Potential target - next support at $30.

Regards,
Ian