Is This The Start of a Big Decline- Update Premarket Aug 28, 2014

We have been warning you about the coming  top of the market . SPX and DJI and most other indices
made new highs in the last 2 days  but the internals of the market were weakening. The number of new highs yesterday was near the lows rather than highs. The number of bullish advisors also reached an extreme yesterday. Candlestick charts also show a peak being formed. A 5 step decline below last Friday's lows  or below 15 day moving average will confirm the start of a major decline. Start of a new month  usually has bullish tendencies but it does not have to be bullish. September is the weakest month
Russell 2000 did not make a new  high.

Gold stocks may be starting a rally here . So cover your short positions in Gold related stocks.
Let us look at charts.

Markets around the world starting a decline again after completing  Oversold rallies.

DJI

SPY

IWM

TNA

TZA

GLD

NUGT  Giving a BUY signal

DUST  Giving a SELL signal

Interest  on 10 year and long term bonds are reaching new lows specially in Europe where in some countries they have become negative. We are forming the biggest bubble in  long term bonds in the history of the world. Right now it has the extreme bullish sentiment. We do not have a SELL signal yet .
TLT

TMF  3 X Bull  Making New Highs

TMV 3X Bear Making new Lows

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Update For Aug 26, 2014

SPX made a new high crossing 2000 mark for the first time. DJI may be close to making a new high and DJT  is also close to making a new high. NASDAQ and QQQ continue to make  new highs. Does this mean that we are starting a New Leg up. No , we are getting closer to the final peak before we start a decline. We do not have a SELL signal yet.

Gold is making a rebound after being down for several days.

DJI

SPY

IWM

TNA

TZA

GLD

GDX

NUGT

DUST

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UPDATE for Aug 22, 2014

Friday Aug  22, 2014 6:10 AM


We have been warning about the end of rally for the last two days. Even though NASDAQ, SPY , SPX , QQQ, made new highs,  RUssell 2000, DJT and DJI failed to make new highs. So start of a decline should happen soon even though we do not have a SELL signal yet. We will get a SELL signal after the indices go below Monday's lows.
News related rallies will not last long.
GOLD gave a SELL signal yesterday after going below 1280. Any rally now should be used to establish short positions.

Update on Aug 25

Intermune Technologies which is one of the top 10 holdings of TNA, is being acquired by Roche for $75 -a 38% premium Today Aug  25. This is why TNA is going up by more than 2.4% today. This is negative for TZA.  There is no SELL signal on TNA or BUY on TZA

DJI

SPY

IWM

TNA  After making a high on Tuesday, TNA has been going down with a minor rally yesterday. It should continue the decline today.

GLD  giving Sell signal

GDX

NUGT

DUST  Giving a BUY signal

SLV Gave a SELL signal on July 21

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Markets Getting Ready To Go Down Again To NEW LOWS- AUG 20 , 2014

Aug 20 2014  6:20 AM PT

NASDAQ & QQQ made new highs in the last two days . The rest of the indices did not make new highs. This divergence  clearly indicates weakness of the markets. Markets made a low on Aug 7 in  First leg down . The Leg two up  may be  completed  soon  and we will start the much stronger Third Leg down  which will result in new lows for the year . A  drop below Monday's lows will confirm this. A rally to recent highs or slightly above that cannot be ruled out.

Gold has not given a clear SELL signal yet. This will happen if it goes below $1280. 

RUSSELL 2000 has been the weakest index so far and it will make new lows below May lows soon.

DJI

SPY

IWM

TNA  REAdy to give SELL  signal

TZA

GLD

NUGT

DUST

SLV  Gave a SELL signal on JULY 21

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UPDATE FOR AUG !8 , 2014

Friday Aug 18 6:15 AM PT

The markets were whipsawed Friday on news from Ukraine. Based upon today's Premarket Data , there is no SELL signal yet. The markets are opening near Friday's highs. Any decline below Tuesday's low will trigger a SELL signal. We do not expect new highs  except in NASDAQ and QQQ.
The Markets can reverse anytime . So be careful. No new buying at this time.

SILVER is giving a SELL signal but Gold is not giving  SELL signal till it also goes below $1280
DJI

SPY

IWM

TNA

TZA

GLD

GDX

NUGT

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Update for AUG 14, 2014

Thursday Aug 14 6:29 AM PT

The counter trend rally is continuing. We will not establish new long positions at this time.
c part of the abc rally is continuing but no SELL signal yet.



DJI

SPY

IWM

TNA

TZA

GOLD's rally is not over yet

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