Pre-Turkey 2CS Sentiment

Good time to take a look at sentiment again. Tom Drakes 2cs senticator above on which I've drawn a couple of heavy black lines more or less bisecting the recent sentiment line and the price line. Notice how, as price has maintained a steady upslope since March, sentiment exuberance has actually backed off in the same time period. IOW, as price has remained more or less linearly up, sentiment has gone into a topping pattern and almost looks to be becoming more and more bearish as price marches on upward. We've got a long way to go before this market tops out.

Path of Least Resistance

Certainly feels to be up, doesnt it? Monday we complete a weak downtrend, unless of course for some reason we swoop down to begin the week.....that would be a surprise to me though.

So, what now? Well, I would like to see some weakness on monday to setup the upcoming uptrend into Thanksgiving. The actual turn date from my data falls on Thanksgiving day, but given the propensity for the day after turkey day to be up, I think its safe to pick friday as the turn....besides, we all take the day off and the boys have their way with the market and a full belly of stuffing, correct?

Needless to say, we completed a "seasonal inversion" in the markets whereby the seasonal changes (increase) in tides and gravity have largely been ignored or overtaken by other factors. My interpretation of what that means or can mean is that now with those forces weakening day by day and week by week, we reap their additional boost to the markets. I think we'll see a fairly strong end to November, a decent correction into the beginning of December and then an Xmas surge. All in due time.

Mid Week Update

No comments tonight.....too much else going on right now. Good trading !