Archive for March, 2016

SPX looks set to nose over recent highs…

Posted on Mar 19, 2016 by .

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0318spx

http://stockcharts.com/h-sc/ui?s=%24SPX&p=D&yr=0&mn=6&dy=0&id=p38955316076&a=266398464

Literally  a nose to supersede three important wave highs:  2080, 2104, 2116, labeled on the chart as a,b,c.  Distance is less than a nose: .015, .026, .o32.  When the last of these is taken out the entire structure of the market will be changed — actually in quite a dramatic fashion. The downtrend that started in November will be canceled and we should be looking at the beginning of a new upwave — probably of some consequence.

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The technical situation…

Posted on Mar 15, 2016 by .

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0314spx

http://stockcharts.com/h-sc/ui?s=%24SPX&p=D&yr=0&mn=6&dy=0&id=p38955316076&a=266398464

There is a wealth of information here, none of which foretells the future.  On the ambiguous side the upwave now in process is strong, 35 days, 12%, with 14 strong or power bars.  The three bars off the bottom are especially rare–and  important.  If anything helps foretell the future these bars do.  What is ambiguous is the wave and its trend lines.  In effect the trendlines shown are technically shaky.  There is no pull back low on which to anchor a strong trendline so we invented two lines.  Don’t worry.  The market will take care of that before too long.  Meaning that we should see a reaction bfore too long.

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Breaking Away…

Posted on Mar 06, 2016 by .

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0304gld

http://stockcharts.com/h-sc/ui?s=GLD&p=D&yr=0&mn=9&dy=0&id=p60546422961&a=255869372

Gold has convincingly broken out of its triangle.  We remain skeptics, but you can’t fight the chart staring you in the face and the markets haven’t got the zika virus out of their system  so look for a profitable but not long lasting trade.

0304spx

http://stockcharts.com/h-sc/ui?s=%24SPX&p=D&yr=0&mn=6&dy=0&id=p38955316076&a=266398464

0304spxpnf

http://stockcharts.com/freecharts/pnf.php?c=%24SPX,PWTADANRRO[PA][D][F1!3!!!2!20]

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Confirming explosions…

Posted on Mar 02, 2016 by .

0

0301spx

http://stockcharts.com/h-sc/ui?s=%24SPX&p=D&yr=0&mn=6&dy=0&id=p38955316076&a=266398464

8 days ago (11) in what we jokingly referred to as “three gazelles leaping” the market gave us three power bars. The strength and power (and rarity) of this formation augur well for a bull wave.  Today a strong confirmation bar put an exclamation point on the three gazelles.

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