SP500, NAS and other show negative divergence on RSI

Sep 19, 2014

Check up NAS, SPY or any other and look out for RSI negative divergence. MACD is already cooling down and RSI did not go that far as the prices of the indices went. If BABA IPO fails, and something major happens it will be a good reason to sell off the markets. The uptrend in the recent months has been slowish, and the whole feeling of the market is overbought for me. Guts tell to go short is better risk/reward than putting bets on a bull run.