S&P500 - Bearish Divergence - and why lower prices are likely

This is just one observation that might provide an indication of the market rolling over here.  However, looking back at 2008, similar topping pattern resulted in a choppy and UP market before the bigger months later.

In the RSI, it is clear that there are lower lows between the 9th and the 22nd.  However, the price action which seems to be in a clear bearish triangle pattern, has higher lowers between the 9th and the 22nd.  This type of divergences is expanded better on other sites:


Specifically: RSI Divergence

Other: 
Bullish & Bearish Divergence Pattern
Divergences, Momentum And Rate Of Change


Ben Bernanke has made a Jackson Hole speech - Full Bernanke Speech
This speech did not announce any form of stimulus, and put ball in the Fiscal court.

Lets see how this markets hold up over the next few weeks.


One thing that is clear --- Volatility is going to be huge over the next few months.

Off Topic:Toronto - Lightning Storm Images Toronto - 8/24/2011 9:30pm EST

These images and video are from the lightning storm that hit Toronto 8/24/2011; the city and surrounding area has been under Tornado watch for most of the evening.

Is the EUR/USD done? Weakness at the top of triangle detected

The past week has seen the EUR/USD not able to break above a triangle that it is stuck within. The apex is coming fast and furious and breaks below the support around 1.425 could result in dramatic selling.  Keep watching this Forex pair for signals to where the overall world economy is headed.  Even though USD looks in the long term to end much lower than it is currently, if the S&P 500 / Dow rolls over, liquidation will give the USD a bid crushing the EURUSD pair.

Silver and gold Start to Move on global unrest, economic turbulence, and increase in inflation

This jump in prices over the past week has been expected by MarketScheming.  Today on market open, silver and gold started to move sharply higher.  This buy pressure can be attributed to a variety of reasons, from Economic woes in US and the EuroZone and Geo-political risk that has increase dramatically over the weekend.

Libya rebels make "final push" into Tripoli

Egypt and Israel strained over killing of police officers in Egypt

Israel continues offensive in Gaza

Increase calls for Syria's president to step down