Monday, May 27, 2024

Special Video Update…

Time to piece it all together...

Ok, I did some brain storming and I see 2 possible outcomes ahead.  One has us going up to DIA 118.16 and topping out around September 9th-20th as that's when the Legatus Meeting is happening for this fall.  The last meeting was February 4th-6th, 2010... and that's when we bottomed out.  They injected stimulus package part two, and up the market went until the April high.

So, do we go up first... maybe?  But that would setup the market for a huge crash down, from a much higher level.  While it's possible to go up into the Legatus Pilgrimage this fall, I tend to think we are going down into that time frame, and will hit the 8300 print during that event.

Once we hit it, we should go back up for a wave 4 for a little while, and then back down again into the December 7th time frame.  This would put the SPX at 725 or so, and should complete wave 5 down of a larger wave 1 move.  We should go up into next year, but at some point within the next few years, we are going to reach our final bottom of 20.16 SPY.  (How's that for scary?)

So, when will DIA 118.16 be hit, and will it?  Once inflation comes into play, we could see Dow 38,000 like Mahendra predicts.  Who knows that far down the line?  But for now, let's focus on tomorrow and the next few weeks first.

Tomorrow is a huge day in the market, and should it be bad jobs data then I could easily see the 107 area FP hit all in one day.  I'm 70-80% bearish right now, but only based on my gut feelings (which are wrong a lot... LOL), not because the charts, which still look bullish.  Plus the fall pilgrimage could be a high this time... not a low.  And don't forget that the DIA 118.16 will eventually play out.  Will we do it now, while we are close to it?  Or, is it for next year some time?

I'm leaning toward the downside first, with the 107 FP being tomorrow's target.  This is just speculation here folks... the charts are still bullish.  If we go down, then I'd expect a bounce at that level.  At that point I'd have too look at the charts again to see if we are going to continue down, or turn back up and go for 118.16 dia.

If we go up tomorrow, then we could be going to the 118.16 print into the September 9th-20th time frame.  The charts can roll over at any time right now.  They are still bullish, but at extreme levels right now.  This is a very tricky place to be in, as that weekly chart tells me that we are going up to 118.16 FP first... which would set up a once in a lifetime shorting opportunity during the fall pilgrimage.

But other things tell me we are going to sell off first.  I have no idea which one is right, but I cover both in the video... and focus on the bearish case the most.  Just don't rule out the bullish case here, as the charts are not supporting my bearish case right now.

So be prepared to go long up to dia 118.16 into September the 9th-20th... should the charts push up higher.  I'm bearish by nature, and it clouds my judgment sometimes... so don't take again as "written in stone"...

Good luck to everyone...

Red

Red
Author: Red

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jimhobson
jimhobson
13 years ago

Futures are not doing squat. We are going bull tomorrow.

Red Dragon Leo
13 years ago
Reply to  jimhobson

We aren't going to move up or down until 8:30 am tomorrow Jim. Everyone is waiting for the NFP report before doing any position trading.

Red Dragon Leo
13 years ago

Here's an interesting post from SeekingAlpha…

http://seekingalpha.com/article/218870-stocks-a

Pzy5t0
Pzy5t0
13 years ago
Reply to  Red Dragon Leo

Thanks Red, very good video! I am following the sun and like Seeking Alphas TNX call. I am holding pocket aces and have my poker face on! lol Red Dawn tomorrow would make my morning cup of java! Best regards, pzy5t0

Red Dragon Leo
13 years ago
Reply to  Pzy5t0

Lot's of signs on wall pointing toward the Sun… and I'm reading them closely. See you in the morning.

goldie
goldie
13 years ago

Can you provide a link about legatus being some kind of fake group? I never heard of them til your vid today.

Red Dragon Leo
13 years ago
Reply to  goldie

Look in my “Red Pill Section” for Enterprise Corruption. That's Reinhardt’s site. He's called many turns in the market, and it's all been right before, during, or a day or two after… these gangster's get out of their meeting.

They make all the decision about the market and about everything else too. Many of the people in the Bilderburg group go to the Pilgrimages too.

It's the rich that make the rules, and the poor who pay the price.

goldie
goldie
13 years ago
Reply to  Red Dragon Leo

Thanks ill check it out

Red Dragon Leo
13 years ago

VIX futures and cash out of sync…

http://www.youtube.com/watch?v=-6-RO25w9d8

Red Dragon Leo
13 years ago

New update from BAM Investors…

http://screenr.com/AnO

SimpleMind
13 years ago

I read your work. My observation is consolidation week instead of near top. Expecting a new high in the short term trending above 1150 (S&P500) before short term top is form. Asia (SSE composite, HSI and STI) consolidating for the past few days aligning with US. I think SSE will be leading the market soon. Hints from China “top management” loosening fiscal spending – recent announcements include high-speed rail extension and infrastructure work at western China up to multi RMB$ Trillions. Expect more public, water, energy, etc. projects soon. Double dip unlikely from the July PMI data (Slow expanding or bottoming) across the world except headlines “Worries” by analysts. Corporate results also very positive at Asia and EU aligning with US corporate results. I'm bullish short term and direction will be clear next week.

Have a nice weekends. Cheers!

jimhobson
jimhobson
13 years ago

The jobs report dies not discuss July huge increase in companies that move to 3day work week. Underemployed are not counted.

jimhobson
jimhobson
13 years ago

Look at that bounce off gap down already.

should be 150 point 1.5% down day minimum and it will not happen.

Red Dragon Leo
13 years ago
Reply to  jimhobson

It's going for gap fill right now.

jimhobson
jimhobson
13 years ago
Reply to  Red Dragon Leo

Pretty big fill move.

these markets will turn green today. cards are delt we chop for a while longer then break up.

Anna
13 years ago

Red what did I say last night about even if the number was terrible, they will push it up! 🙂

Red Dragon Leo
13 years ago
Reply to  Anna

Yep… that's what happen girl. I knew it was possible, but I was still more bearish then bullish. I'm sure we will close green today too.

Red Dragon Leo
13 years ago

Well gang… at this point it's looking like we go up to DIA 118.16 first, as the bears had their chance but support held for the bulls.

Pzy5t0
Pzy5t0
13 years ago
Reply to  Red Dragon Leo

Hey hey Red, not so fast! lol On May 6th the DOW was just about even at noon and drifted minus 150 points at 2p.m. EDT. Then over a 4 minute period we fell 560 points. It is early in the day, let’s look at some comparisons of May 6th trading and today.
• Gold was up big on May 6th , it hit 1200. Today it is up over 1 percent to 1209.99. 999, lol.
• Financials were leading the way down and are also doing the same today. GS, BAC, C and JPM.
• Retails were also down and are also acting the same way today. TGT, GAP, Macys, Nordstrom.

The biggest laugh of all, circuit breakers do not kick in after 2:30 P.M. I will be back later this afternoon, fingers crossed!

Best regards, Pzy5t0

Robert
13 years ago

Reality setting in. Time to feed the bears and they are hungry………….

Red Dragon Leo
13 years ago
Reply to  Robert

Burn baby burn… LOL!

newbear
newbear
13 years ago
Reply to  Red Dragon Leo

Wonder if this is the start to hit FP target near 107.

Red Dragon Leo
13 years ago
Reply to  newbear

I think so Newbear…

I think people will start to bail out around 3pm today, we could easily head down toward the 107 FP area. We are riding that support right now, and if it breaks… then we should go down hard and fast.

Red Dragon Leo
13 years ago

They stopped just a little bit short of filling the gap on the spy and spx… which means we go down further, as they rarely leave a gap not filled before reversing the other direction.

DCAC
DCAC
13 years ago
Reply to  Red Dragon Leo

Red, what is the Gap level on SPX? SPX Made a low of 1107.17

Red Dragon Leo
13 years ago
Reply to  DCAC

There is another gap around 1070, but today's closes gap is at 1104.34 spx at the August 1st gap open.

rk318
rk318
13 years ago

hello red,
i like ur comments on whole situation & i continue to follow u, cause the us market could affect on our market ie bse, nifty.. my opinions (not statistics as i do not understand it) r very much match with ur so i had took put options one week urlear well'see what happen next. As we r very very bullish (&fullish too) on our future prospects. our market level is not fullfill the actual requirment………

Red Dragon Leo
13 years ago
Reply to  rk318

Thanks… good luck with your put options (many of us are in the same boat with you).

Red Dragon Leo
13 years ago

All of this sideways trading is putting in a bear flag now. Should it play out, will we fall outside of this rising channel. The drop should be hard, and I think it could start around the last hour of the day.

Right now they are working off the oversold conditions on the 15 minute chart, but the 60 is still going down. It's trying, but not wanting to roll back up yet. It's still in oversold territory, but could stay there awhile.

Geccko23
Geccko23
13 years ago

There's either a bad quote or a fake print over at stockcharts.com for $xeu which is the euro. I can't believe that quote is correct. Check out the chart.

Red Dragon Leo
13 years ago
Reply to  Geccko23

Whole cow! That's not good for the rest of the market… LOL

Good job Geccko… thanks for catching it and telling us.

Geccko23
Geccko23
13 years ago
Reply to  Red Dragon Leo

I can't believe the euro is up with all of this action. but it does look it's putting in a shooting star pattern.

Red Dragon Leo
13 years ago

I got a screen shot of the $XEU FP… just in case it disappears.

http://reddragonleo.com/wp-content/uploads/2010

Red Dragon Leo
13 years ago

Since they put the FP on the euro, logic would say that something big is going to be announced… maybe another country defaulting?

Geccko23
Geccko23
13 years ago

Anthony Allyn has now flipflopped. He was one of the multitude calling for another thrust higher but now he is writing wave 3 down has started. All in all it cost him a 100+ Dow points but since he got the rally right off the July lows that isn't too bad of miscall.

Geccko23
Geccko23
13 years ago
Reply to  Geccko23

Of course he was making an Atilla like call of a possible SP 1190 rally target.

Red Dragon Leo
13 years ago
Reply to  Geccko23

If this trend doesn't breakdown, then no real damage is done to the uptrend, so let's just keep that in mind too.

Geccko23
Geccko23
13 years ago
Reply to  Red Dragon Leo

Well, everything is still holding within the wedge. But too much is convergeing here to make me believe this rally will continue. There are 3 or 4 fractal similarities to different tops right here. Today is a key date for several reasons and we are in the heart of a crash zone per Crawford or Bam Investor plus the multitude of weekly cycles. I think we also get a stealth weekly reversal at the close.
I bought inverse ETS an hour or so ago as well as some TLT and VXX (I like be on the side of the insiders) and for the first time some basic materials inverse ETFS so I need the Euro to reverse here but it also put in a topping fractal similar to the Sept 2008collapse to March 2009 low and subsequent rally to April 2010 from its late April high to June low and rally to here.
Plus all the shills are calling for a rally into late August which means the opposite should happen.
They also painted the tape yesterday rallying the Dow into its high at the close while Russell was making a new intraday low setting up all.
the longs. I have a high confidence that the high is in for this rally and I have explained most of the reasons here recently.

Akka Kebnekaise
Akka Kebnekaise
13 years ago

Hi guys,

Want to see something bigger: check the $XBP (Brit Pound) print
http://stockcharts.com/h-sc/ui?s=$XBP&p=D&b=5&g

Red Dragon Leo
13 years ago

Great prints… thanks for posting them.

Akka Kebnekaise
Akka Kebnekaise
13 years ago

But the prize goes to Swiss Frank:

http://stockcharts.com/h-sc/ui?s=$XSF&p=D&b=5&g

Geccko23
Geccko23
13 years ago

Haha. Those are great prints

jimhobson
jimhobson
13 years ago

I guess i need to leave my office more.

i came back to a pleasant surprise. I love to be wrong. Will it last into the last hour/???

Red Dragon Leo
13 years ago
Reply to  jimhobson

Stay a little while long Jim, as we should be overbought on the 5 and 15 minute charts going into the last hour…. and I know you don't want to miss that do you? LOL

jimhobson
jimhobson
13 years ago
Reply to  Red Dragon Leo

Looks like its already happening. man that is quick.

jimhobson
jimhobson
13 years ago
Reply to  Red Dragon Leo

Wait a minute are you referring to the spx bounce as overbought and therefor expecting a sell off into the eod??

Red Dragon Leo
13 years ago
Reply to  jimhobson

We are getting overbought right now on the 5 & 15 minute charts, but the 60 turned back up. I suspect they will close it back inside the rising wedge, and leave us all guessing about Monday.

Red Dragon Leo
13 years ago

Looks like the bulls won today gang. Don't know about next week, but until that rising support line breaks, the bears are going hungry.

ashsail10
ashsail10
13 years ago
Reply to  Red Dragon Leo

Hopefully there is one initial push up on monday morning, as I went long buying BGU in the afternoon when SPX was 1118. I will come out if it reaches 1125. Hoping for no terrible gap down on monday

jimhobson
jimhobson
13 years ago

What a joke??

Red Dragon Leo
13 years ago
Reply to  jimhobson

While it's still possible that we go down to the 107 FP next week, it's looking more and more like we are going up to DIA 118.16 first. Pretty crappy if that happens…

dreadwin
13 years ago
Reply to  Red Dragon Leo

Remember this fake print I posted?

http://www.screencast.com/users/dreadwin/folder

It got hit today.

Red Dragon Leo
13 years ago
Reply to  dreadwin

Thanks Dreadwin,

I forgot about that one… Maybe it will play out next week?

Red Dragon Leo
13 years ago
Reply to  Red Dragon Leo

Duh… it played out today! My brain isn't focused today. Thanks for the reminder.

dreadwin
13 years ago
Reply to  Red Dragon Leo

It played out today! It was within 25 cents of the low of the day on IYR. Coincidence?

Red Dragon Leo
13 years ago
Reply to  dreadwin

You know my answer to that… hell no, nothing in this market is a “Coincidence”. LOL

Keep your eye's out for more. We got 3 new one's today that other's caught and posted.

dreadwin
13 years ago
Reply to  Red Dragon Leo

Those are scary prints on currencies!

Red Dragon Leo
13 years ago
Reply to  dreadwin

Yeah… and if the market goes up into Legatus, to the final high of DIA 118.16, then that's one helluva drop in the market coming!

zstock7
13 years ago

Hi Red,
I'm going to be gone for 10 days. ( long story) I'll be back.
on another note,
btw, I have ancestors buried at this cemetery.
http://www.google.com/search?hl=en&client=firef

Notice the censorship? It's an Illuminati cemetery.
I might be programmed, ( for what?) who knows.

Red Dragon Leo
13 years ago
Reply to  zstock7

LOL

Akka Kebnekaise
Akka Kebnekaise
13 years ago

zstock,

could it be Pythagoras (Pythagorus)?
The Knights of Pythagoras (pythagorean) cemetery has much better coverage.
Just a thought.

Red Dragon Leo
13 years ago

Weekend update is up gang…

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