Thanksgiving Rally Is This a Trick For The Muppets?
Mr Market has posted a nice 3% rally, but is this a rally you sell into or one that you buy? Is Mr Market try to trick the market muppets into a false start of the Christmas rally?
In this market when conditions are right (say before a holiday, ooh like Thanks giving) it is not hard to engineer a sharp move. 3% up or down is easy peasy. What is hard is to determine if a true trend is to be born after such an event.
Richard Wyckoff students like to see a test of the bullish trend buy having price fall back a little and hold at lows or better and then reverse to higher highs. This would be buying in the red RTT Rainbow bands that to show buying in red working (as seen in the chart below).
Market trend is waiting confirmation post thanks giving, dont be a muppet wait for the trend to be confirmed.
NOTE: No muppets were hurt or harmed in the production of this post. All muppets are highly trained and muppet medical stuff is present to assist at all times.