Technical Analysis of Stock Trends

Buy signal in gold.

Posted on Nov 16, 2009 by WHC Bassetti.

This is a buy signal for aggressive traders in gold.

A little unsettling to think that we might be in a blow off  already, but gold is running and he who rides the tiger can’t get off for lunch.

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Buy signals in the indices — buy the Dow, buy the S&P

Posted on Nov 16, 2009 by WHC Bassetti.

Surprisingly when the Dow should be turning to drift it explodes.  This is a buy signal for aggressive traders.

We will be buying today, probably the DDM (leveraged Dow 2x).

And we will be posting shortly a letter doing an exhaustive analysis of the waves since March 6 which bears on our interpretation of this as a buy signal.  Stay tuned.

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UUP is Down (no brainer)

Posted on Nov 14, 2009 by WHC Bassetti.

In September we saw a sell signal in the dollar, as indicated on the chart.  A gap down.  Good practice, following the marked Basing Point would keep the trader short up to the present, in spite of the rally of early November.

This could have been done by short the UUP or by long the FXE:

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Karnak doubles up on FNM, FRE, lights match to UNG

Posted on Nov 12, 2009 by WHC Bassetti.

Yesterday, end of day we bought FNM and FRE  – actually we blame it on our evil twin Karnak who does all the things the rational professor in us tells his student not to do.  Anyway Karnak felt that the government can’t sink these mortgage beauties and so the ambush perpetrated by that New York nonentity, Keefe, Bruyette, Woods represents a buying opportunity.

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ETFs. EEB, FXE INP, ETC. ETC

Posted on Nov 10, 2009 by WHC Bassetti.

Some months ago we reviewed a basic list of ETFs, pointing out that a large group were buyable.  We just looked at this group again and found most of them not only still in uptrends, but probably buyable.  The best of these are probably EEB and FXE, but INP, IAI, FXI are reasonable — as is even (gag) RTH (we don’t like retail in general, and in fact try not to go into retail stores.)

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