SWISS FRANC Z'09 - BEAR TREND ACCELERATION

The focus remains on MKTs that have produced a major negative signal or BEAR TREND ACCELERATION signal. This is a negative signal that should accelerate the current downside momentum if valid.

For November 4, 2009 only the Swiss Franc Dec'09 futures have produced a BEAR TREND ACCELERATION signal.

Swiss Franc Z'09 9767 Inflection Pivot



The question, is does this signal have potential or was yesterday's signal just a 1 day event. The price point to key off that keeps the MKT in an aggressive sell posture is the 9767 Inflection Pivot. This is the price point that defines the technical state from being an aggressive sell posture below that price point to a potential reversal or digestive trade above that price point.

If the MKT is bad it should hold below 9767 and press the 9697 initial support level. If we are in for a digestive session the contract will stabilize here. A held failure confirms yesterday's negative signal targeting 9627 on any release. 9487 is the current extreme.


A held rise above 9767 takes the edge off the currency for a difficult trade up to 9802 with the potential of going as high as 9837 in the session. No follow through is expected. Only above 9837 does sentiment shift projecting the MKT up to 9977.

Draw a line on your intra-day chart at these levels. Look for opportunity in the direction of the Inflection Pivot bias. Executing at or near these price points will provide the best risk / reward.


JS


STRATEGY BASED TRADING Review http://progressive.powerstream.net/008/00102/edu/interactive/js_services/strategy_based_trading/index.html


For more information please contact me at info@jsservices.com. You can also visit http://www.jsservices.com/.The Inflection Pivot levels are available as a chart overlay on the following platforms; Ninja trader, Strategy Runner and eSignal. Sign up for a Complimentary FREE Trial.

The Strategy Based Trading approach is the focus on the applied strategy over a specific market.



Again today we are going to focus on MKTs that have produced a major negative signal BEAR TREND ACCELERATION. This is a negative signal that should accelerate the current downside momentum if valid.



The question, is does this signal have potential or was yesterday's signal just a 1 day event. The price point to key off that keeps the MKT in an aggressive sell posture is the session Inflection Pivot. This is the price point that defines the technical state from being an aggressive sell posture below that price point to a potential reversal or digestive trade above that price point. Trading below the session Inflection Pivot has the MKT in an aggressive sell posture and the BEAR TREND ACCELERATION signal in play. Trading above this price point is an indication that the negative vulnerability of the MKT is reduced and there is a better chance of a sharp positive push or a firm digestive trade.



If the negative signal is good you should expect the market to hold negative structure. If not may be time for a turn.



November 3, 2009



Below are the MKTs that have produced a BEAR TREND ACCELERATION signal and the Inflection Pivot that determines the continuation of the sell signal or not.



EQUITY FUTURES [DEC09]



MidCap400 667.30



FOREX



EURCHF 15118



Draw a line on your intra-day chart at these levels. Look for opportunity in the direction of the price bias. Executing at or near these price points will provide the best risk / reward.



If the current price is above the Inflection Pivot in this technical state, market sentiment is saying "prove it to me that the negative signal is valid". If the MKT cannot break under the Inflection Pivot the likely hood that the negative signal was just a 1 day event is high with the potential for a counter signal rally.



If the Inflection Pivot is above the current price then the negative signal is still in play "up" to that price point. Any lower sales are not "wrong" unless the MKT is above the Inflection Pivot and sell signals below this point should be taken.



JS


STRATEGY BASED TRADING Review http://progressive.powerstream.net/008/00102/edu/interactive/js_services/strategy_based_trading/index.html



For more information please contact me at info@jsservices.com. You can also visit http://www.jsservices.com/.The Inflection Pivot levels are available as a chart overlay on the following platforms; Ninja trader, Strategy Runner and eSignal. Sign up for a Complimentary FREE Trial.