- USA TRADERS THREAD -

HP a similar shift occurred just before the drop in October then spread back again afterwards when the indices rallied, however, the shift has occurred back again to the defensive. I think it's more a case of indecision in the market (but a good indicator of storm clouds ahead) so I'm not sure we'll get major tops then a correction or not but we'll certainly get oscillations in the market as the bulls and bears fight it out (this means the trading ranges will be wider as a consequence).

With consumer confidence on a high then stocks have a tendancy to mirror that, when that changes it is too late to do anything about it because the market will move fast. So the key I believe is to following the shifts in sectors, and relationships between stocks, bonds, commodities, energy costs, and the strength of the USD. There's some good stuff being created by others using EWT. Good luck in the New Year.