The market changed from uptrend to downtrend on June 23rd, 2008 The stop loss of 2427.93 must have stopped you when the price went below that value on June 11, 2008. You should now be holding neutral positions to the downside. We shall now wait with neutral positions to the downside for a crest to form and go short this market.

Fig. 2. shows the point that marked end of uptrend. The market changed from uptrend to downtrend on June 23rd, 2008 The stop loss of 2427.93 must have stopped you when the price went below that value on June 11, 2008. You should now be holding neutral positions to the downside. We shall now wait with neutral positions to the downside for a crest to form and go short this market.

Wait (but be holding neutral positions to the downside) for a crest to form and go short this market.  Remember that with Neutral Positions/Calendar Spreads, you make money regardless of price direction. The only way to lose, is if the price of the underlying moves too far in either direction in which case the stop loss will have stopped you before it happen. You can also structure these trades so you have a very wide profit zone, with a high probability the price will stay in the profit zone.  And seriously though, our just ended uptrend has been very profitable.

The crest is yet to form. Wait (but be holding neutral positions to the downside) for a crest to form and go short this market.  Remember that with Neutral Positions/Calendar Spreads, you make money regardless of price direction. The only way to lose, is if the price of the underlying moves too far in either direction in which case the stop loss will have stopped you before it happen. You can also structure these trades so you have a very wide profit zone, with a high probability the price will stay in the profit zone. Remember to watch the current stop loss updated and posted here whenever it changes. Stop Loss/breakout to upside:  2549.94 plus 0.1% equals 2552.49.

Fig. 5 - This chart, intermediate downtrend,  is not in use at the current market situation. When will it be used?

Fig. 6 -  intermediate uptrend,  confirms uptrend has ended and downtrend has started.

Where The Stock Market is Today, June 23rd, 2008 - NASDAQ Composite

Action: June 23rd, 2008: the market has been confirmed to be downtrend.  Open on June 24th, 2008 Neutral positions/Calendar Spreads to the downside (use puts) and they should be rolled over every time both legs get "on money".

Stop Loss/breakout to upside:  2549.94 plus 0.1% equals 2552.49.

Previous Charts

And should you have a question you need to ask, feel free to ask for you will be answered. It is through asking that we have been able to have what we have. We provide this information free to help beginners and average traders who might be inexperienced in the complexity of stock market movements make money in the stock market.  We provide analysis of Nasdaq Composite Index, SP500, Dow, Russell 3000 and NYSE as we trade them. In addition, we can also upon request provide analysis on Exchange Traded Funds of Nasdaq, SP500, Dow, Russell 3000 and NYSE. We prefer trading Exchange Traded Funds because they spread risks across other stocks, pay dividends, are less noisy, not very prone to rumors and or manipulations, their Options are spread at workable intervals for spread strategies, and above all, ETFs trades are easily predictable by using the broad market indices of Nasdaq, SP500, Dow, Russell 3000 and NYSE.