I will be travelling this week-end and thus I will not be able to post a strategy for next week. Friday generated a new short term positive buy alert [+1]. We now have two higher lows with support at 12,100 (ST trendline) and 12,050 (double bottom). The double top (1 higher high) at 12,500 is resistance on this short term bullish ascending triangle.
Longer term, this looks like institutional stealth accumulation and therefore I am at a loss to understand why there are so many bears in various forum and blogs that I read from time to time. Sure, there are a lot of things to worry about, but that should not stop a trader from following the trend even if the media keeps presenting "end of the world" scenarios.
One needs to look at leading indicators of market trends and definately not at economic indicators being reported on a daily basis. These are lagging indicators. The market always looks six to nine months ahead and it is telling me that there is light at the end of the tunnel. I think the 2012 scenario is just a mirage.
Pierre Brodeur
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