Friday, October 09, 2009

AMD/SPY ratio chart (PnF) is breaking down!


The relative strength of AMD vs SP500 is weakening since Oct 1st.  The ratio PnF chart is flashing a sell signal at this moment.  This ratio chart was able to signal the pullback from the June 4.9 high correctly. It is a  reliable chart to follow.  AMD is about to announce Q3 results in a few days.  However, the trading action of the stock in the last few sessions is lackluster.  It is unable to close above 5.7 and the head-and-shoulder really concerns me.  It is time to play defense and stay on the sideline.  I actually bought some SSG today.  Generally Semi  leads the market and it looks like it is leading this market down.  Good Luck!

1 Comments:

Anonymous Anonymous said...

Gush! you are right again! People did buy that story of 'beat the estimation'. Sometimes I do suspect you got a holy grail. You are a great one, not 'nice' one.

10/18/2009  

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