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Look at this chart:

http://stockcharts.com/h-sc/ui?s=$SPX&p=D&yr=7&m...

Is this a classic divergence signal? The blue line is where the RSI peaks at above 70. The red line is where the market peaks after the RSI peak. The market goes up from the blue to the red line while the RSI goes down. The last two times this happened led to the 2008 meltdown and an 18% decline in fall of 2011.

What comes next?

Do others agree that this is a classic divergence signal??

DIYINVSTR
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