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Home » Blog » 2011 » 10 » Another 90% down day
By Lawrence G. McMillan

...The equity-only put-call ratios have rolled over to sell signals, and that is a major technical factor, in my opinion.  Technically, the standard ratio was not yet a “confirmed” sell signal, but it likely will be after today’s numbers are posted. 

Breadth is abysmal today, and declining volume is outpacing advancing volume by 20-to-1.  Thus it is quite likely that this will be another “90% down day” – the third one in the last four days.  That creates an extreme oversold condition that should lead to a strong up day very soon – probably tomorrow or Wednesday.  However, that will not change the bigger picture... 

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