The bulls have a change in the reversal indicator

Up until this week, the SharePlanner Reversal Indicator, had been pointing lower, but if you remember last week, I mentioned that we would probably get a bullish signal on the reversal indicator. 

Granted the market continues to go higher, so the question is, why was there even a bearish reversal in the first place. It is worth reminding everyone that a bearish reversal doesn’t always mean a hard sell off is to ensue. Instead it also means that there is a strong likelihood we will see a lot of sideways price action, which has been often the case over the last 2-3 years in particular when these signals arise. So when I see a bearish reversal, I don’t necessarily expect a major sell-off, but more times than not, I suspect we’ll see price action stall out. 

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But that is not the case here, because now we have a bullish reversal back to the upside, and it is happening earlier than it usually does. 

As for me, I remain long on this market, and will look to add more long exposure if the market confirms the SharePlanner Reversal Indicator’s signal, which it seems to be doing so far. 

As for shorting the market, there are times where it seems plausible, but those times are really just moments that get wiped away fairly quickly. For now, I remain long and strong and will continue that way until the market breaks the trend-line shown in the chart below. 

Here is the Reversal Indicator

shareplanner reversal indicator bullish

 

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