SevenSentinels.com

Primary Trend: Potential Transition to Bear Market ~ Intermediate Term ~Seven Sentinels~ 100% Cash

Today, September 28, 2011 we got a confirmed Seven Sentinels Sell Signal, and this may well be our most important signal since we began this service. Not only is this signal resounding and solid, but it coincides with a Primary Cycle Sell Signal that is only our third such Primary Cycle Sell of this millennium. While this Primary Signal will not be "official" until the close on Friday, with a very solid SSSS tonight it's not likely to be reversed. In fact after the close today, SPX futures have dropped another six points below the level shown on the following chart:

All seven can be seen here. BPCOMPQ and TRINQ were the last two to confirm:

We believe that simplicity is the essence of clarity. To add additional analysis here would only distract from focus. We have a confirmed Seven Sentinels Sell Signal and are two days from an official Primary Bear Market Signal. Our job is to get short and stay short. Tomorrow our task will be to get fully short as gracefully as we can for our ETF account, but that may not be easy because we could gap down. With a final TRIN today of 5.39, it has been our experience over the years that a likely scenario will be a gap down followed by a rally, and then follow through down to further new lows Friday. No certainty of that pattern, of course, but its a pattern we very often see when we get extreme TRIN readings. We may short via ETF's early, but wait till the end of the day to get fully short. We'll report in real time as always.

The overriding message we want to convey here - the main focal point of all of this, is that we have a confirmed Seven Sentinels Sell Signal and our most important goal is to get short and stay short through what market internals indicate can be expected to be a very significant decline ahead.

EOM