I’m not sure, as the signals are mixed right now? I see a rally in the market coming but it’s quite overbought on the short term charts right now. That means that it’s going to have a hard time rallying on Monday… which means gold will continue up. Hard too play this one… cash is a safer position right now. Once the charts all reset to the same direction, then I’ll take a position.
Bernanke Says Fed Will Consider Move September 21st-22nd (about QE3)… could this be the real bottom for Major Wave One down? If so, then that new stimulus should rally the market up into the October 23rd Legatus meeting just in time to finish Major Wave Two and start Major Wave Three down.
The question is… will traders rally before the date (pricing in QE3 as guaranteed this time), or do they sell off in front of it not knowing what will happen in the meeting? Since this meeting was a dude, and the market didn’t get another shot of crack cocaine, I’d say the traders will probably sell ahead of the next meeting in fear that nothing is said about QE3 again.
So, that means we should rally some next week to complete this Minor Wave 4 up (it should take out the current high for wave A around 1210 spx, as this final move should be wave C inside this 4th wave). If this is an ABC pattern in this 4th wave, then we should reach a new high before next week is over. That would allow for a sell off to start the 5th wave down the following week, which should continue until Bernanke’s next meeting on the 21st-22nd.
All just speculation here, but the charts could support this theory easily. How high could it go? I’d say NO higher then the 1260 spx area, but more likely just to the 50dma (which will probably drop to about 1240 by the time the market rallies up to it).
Sold off my longs at 1164 from the close Thursday. I was lucky I was not near my computer this morning. I might have sold after the market started selling off. I just do not get the feeling this market is going to tank until the end of the first week of Sept at the earliest. I just bought some small amount of shorts at the sp 1174 level for a day trade. Not expecting any huge down fall thou
Kinda looks like a “cup and handle” pattern on the 30 minute chart with the 17th-18th starting the cup.Kinda looks like a “cup and handle” pattern on the 30 minute chart with the 17th-18th starting the cup. All the short term charts are aligned together pointing up now. The short term trend could be turning back up for awhile now.
They are going to save the market from closing below the 200ma on the weekly, which means it will probably turn back up next week. I get the feeling that our 5th wave down isn’t coming and the last sell off was it. Call it a “truncated” 5th wave (meaning it failed to take out the low of the 3rd wave down). I think the bears are done for awhile gang…. that’s why I closed out my shorts yesterday.
Gold chart: http://niftychartsandpatterns.blogspot.com/2011/08/gold-moving-up-again.html
I’m not sure, as the signals are mixed right now? I see a rally in the market coming but it’s quite overbought on the short term charts right now. That means that it’s going to have a hard time rallying on Monday… which means gold will continue up. Hard too play this one… cash is a safer position right now. Once the charts all reset to the same direction, then I’ll take a position.
Any of you guys gonna short GOLD for the C wave move down????
This is what I am feeling. And saw. YET, didn’t buy a share of an ETF or go long on the futures, so…… feeling empty.
Hmmm….
http://www.cnbc.com/id/44286314
Bernanke Says Fed Will Consider Move September 21st-22nd (about QE3)… could this be the real bottom for Major Wave One down? If so, then that new stimulus should rally the market up into the October 23rd Legatus meeting just in time to finish Major Wave Two and start Major Wave Three down.
The question is… will traders rally before the date (pricing in QE3 as guaranteed this time), or do they sell off in front of it not knowing what will happen in the meeting? Since this meeting was a dude, and the market didn’t get another shot of crack cocaine, I’d say the traders will probably sell ahead of the next meeting in fear that nothing is said about QE3 again.
So, that means we should rally some next week to complete this Minor Wave 4 up (it should take out the current high for wave A around 1210 spx, as this final move should be wave C inside this 4th wave). If this is an ABC pattern in this 4th wave, then we should reach a new high before next week is over. That would allow for a sell off to start the 5th wave down the following week, which should continue until Bernanke’s next meeting on the 21st-22nd.
All just speculation here, but the charts could support this theory easily. How high could it go? I’d say NO higher then the 1260 spx area, but more likely just to the 50dma (which will probably drop to about 1240 by the time the market rallies up to it).
Crude Oil in a triangle :http://niftychartsandpatterns.blogspot.com/2011/08/triangle-of-crude-oil.html
Yes GL… looks too me like we will rally some next week. Good trade… congrats!
Sold off my longs at 1164 from the close Thursday. I was lucky I was not near my computer this morning. I might have sold after the market started selling off. I just do not get the feeling this market is going to tank until the end of the first week of Sept at the earliest. I just bought some small amount of shorts at the sp 1174 level for a day trade. Not expecting any huge down fall thou
ES Triangle updated: http://niftychartsandpatterns.blogspot.com/2011/08/s-500-futures-in-triangle.html
Kinda looks like a “cup and handle” pattern on the 30 minute chart with the 17th-18th starting the cup.Kinda looks like a “cup and handle” pattern on the 30 minute chart with the 17th-18th starting the cup. All the short term charts are aligned together pointing up now. The short term trend could be turning back up for awhile now.
They are going to save the market from closing below the 200ma on the weekly, which means it will probably turn back up next week. I get the feeling that our 5th wave down isn’t coming and the last sell off was it. Call it a “truncated” 5th wave (meaning it failed to take out the low of the 3rd wave down). I think the bears are done for awhile gang…. that’s why I closed out my shorts yesterday.