How to Read Technicals Differently in Bull & Bear Markets?

I was asked to repost this today:

I see some of you attempting to look at the overbought nature of the technicals on the miners and metals and view it as simply another topping pattern just like all the others we have had for years.

The issue that many overlook is that we apply those technicals differently during bull moves vs. bear moves.  You see, if the market has truly bottomed and transitioned into a bull phase, then overbought indicators simply remain overbought as the market continues higher in a 3rd wave.  This is when technicals imbed and why so many are caught off guard when a market transitions from bear to bull. 

So, do not assume an overbought indication in the techncials will mark a top this time, and maintain an open mind to the potential that the market may have finally transitioned. Due to the potential of a bottoming pattern in place in GDX, we now need more than just an overbought indication on the technicals to confirm a top to a corrective rally.  We also need to see a Fibonacci Pinball support level broken by an impulsive structure to the downside. 

In conclusion, this post is simply to note that indicators should be used differently during bull phases and bear phases, and one has to be able to understand how to use them appropriately during the different phases of a market move.