More downside coming ?

There are many negative forces in play which may impact TAPE in a negative way.

First, momentum is broken & we made lower lows, not a healthy technical picture.

Pullbacks are minimum 4 percent area, we are far from it.....

Fed minutes on Wednesday may have language change to indicate stronger US economy but will word it cautiously by highlighting European & Chinese weakness...net net no change in timing of rate increase in this minute.....which will be a positive for the market.

Thursday is "Scotland vote"..i expect a NO win.....another positive for Euro & markets around the world.

Friday is "BABA" day...another huge positive...

SO negative TAPE until Wednesday 2 PM...then positive close Wednesday, Thursday & Friday....

Option Expiry may take its toll until Wednesday minute release.....

SO....plan according to early week weakness & positive from Wednesday close...

It is never easy on Wall Street, who could have guessed about Scotland issue ?

Nasdaq is looking healthiest among all indices which is a good thing, thanks to BABA fever....

Dow is the weakest and made deeper lower lows also, not a good thing, lower lows in Dow & S&P 500 were made on higher volume another red flag.....

SO..what to do is the question ?

Again, keep booking profit & buy the weakness which has worked for last 5 years....

Stay with strength & watch closely any weak stocks in your portfolio.

By end of the weak, we may be taking a deep sigh of relief from world events.

Good luck with your own strategy & analysis.

BLOG does NOT give buy or sell.

Saleem