Taking Out Resistance
One of the most important rules from William Eng’s book, Trading Rules, is that ‘bear markets have no supports & bull markets have no resistance.’ The second part of that is very evident right now, especially on the NASDAQ. It looked like the market might have been starting a multi-day pullback last week. The S&P 500 and Dow had completed evening star-ish patterns on Friday. But most of that was negated today by the S&P rallying to take out the resistance of that pattern. The Dow is now sitting just under last week’s resistance. The NASDAQ continued to just obliterate any facsimile of resistance in it’s way. The only not-so-positive thing …
tagged: Bear-Markets, Bull-Markets, Resistance, Support and William-Eng
