FOLLOWING THE SIGNALS 1/31/14

Nice day to end the week and end the month.  Bears played earlier in the week and were hibernating today.  Bulls saw a reversal early off the first 50CB (and a 2 bar doji reversal) and pushed the market higher.

The 50CB's are color coded for an easier read, and a parallel line is added to the upper 50CB where selling resistance was noted.  Once this area stabilized ( at a 50CB, a lower bull TL) it was bull buy signal  for another push higher where it held at the upper 50CB Bull TL.

The 50CB has three parts:  the upper Bull Trend Line, the Bear lower TL and the 50CB itself.  A break is regarded as a short that reverses a prior trend.  A 50CB hold is considered a trend continuation long.  The TL's are used to gauge the strength of the run and consideration for holding the trade.