AAPL KEEPS WHISPERING SWEET NOTHINGS VIA ITS PRICE PATTERN
As if the perfect consolidation that took place in AAPL before its breakout wasn't enough. Now this: click chart to enlarge
HEADS ARE GONNA ROLL: GOLD AND SILVER UP AGAINST A SPIKED WALL OF RESISTANCE
I tweeted earlier today that gold and silver were reasonable short sale candidates at these levels. Here are the charts outlining that view. This has been a rather weak reaction in the precious metals to what is almost a guaranteed QE3 at this point. What that says about the potential for success of this new round of QE is another debate all together. What I am focused on here is the stiff resistance that both gold and silver face here in the form of trajectory points. The upside for gold from this point is especially daunting. click chart to...
5 LONG-TERM CHARTS THAT CREATE CRYSTAL CLARITY FOR THE REMAINDER OF 2012
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THE SOX NEEDS TIME THEREFORE THE ENTIRE MARKET NEEDS TIME
The study of price action for me is an evolving art form. My abilities are continuously evolving as a result of consistent practice. I can't compare the price analyst I am now to what I was 5, 10 or 15 years ago. Every period is worlds apart in terms of ability and aptitude. With time comes certain discoveries. One of my more recent findings is the ability for certain averages to take on more importance for the market at different times of a bull or bear cycle. For a period of weeks it could be the Russell that takes on the primary leadership role. For another period of weeks it can then become the duty of financials. The next few weeks it will be the SOX. The most important part of this cyclicality within the leadership of the market is the fact that, more often than not, these periods of cyclical leadership are dictated by proximity to important trajectory points. This is something I am just beginning to grasp. The day will come when I have a firm understanding of it. For the time being, it is more abstract in nature than anything else. Here is an example of it in action. The SOX is the current leader of the entire market based on the launch from the important trajectory that marked the bottom in July. The recent response to resistance tells me that the market, as a whole, requires more time before taking on the significant resistance ahead: click chart to...
4 CHARTS THAT POINT TO A MARKET WITH DANGEROUSLY BULLISH INTENTIONS
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AMAZINGLY ENOUGH, IT IS JANUARY ALL OVER AGAIN
It is my duty to bring you, my dear patrons, the freshest and most reliable information with respect to the markets available. That is why I am persistent in my chase to dig deep into areas that few others bother to look. I am not simply going to sit here and show you a head and shoulders pattern, followed by a couple moving averages, giving you a elementary summary of what it is the markets are slated to do. The kiddie pool is over there. This is an arena for dignified adults seeking stimulation of the mental variety that reverberates into exquisite displays of prosperity if executed properly. With that said, I bring you my most recent postulation. The following study is the cousin of a study I posted on January 31st, 2012 titled, "A Fascintating Interpretation Of The VIX & Put/Call Ratios: Volume 2." The basic premise was that during bull markets put/call ratios and the VIX are no longer contrary indicators but rather serve little purpose other than to create conversation among pseudo-market intellectuals of which there are many in financial social media circles. In this study we look at both the Dow and short-term moving averages of the put/call ratio to gauge sentiment. There are some striking similarities to January of this year when another rally was just on the verge of getting underway. click chart to...
STALLING…AT BEST
Today was a tell. The market twitched, scratched its ear and shifted its feet in a manner that allowed the astute observer to tell that it wasn't holding as strong a hand as suspected. Cards are now face up. Two factors today tipped me off to the fact that we are in for a sideways market at best over the next several days and down at worst: 1. The Dow has now had two days in a row of weakness in the final hour. This is occuring as we come up on an enormously consequential generational trajectory (see chart below). We need a burst or acceleration to take place in order to get over this major hurdle. The last hour weakness is a sign that the institutional buying support just isn't there...yet. 2. The SOX bounced right off the trajectory point I mentioned as its initial target on July 29th. I mentioned an initial target of 405 for the SOX. Today's high was 403 and change before weakness took hold to knock it down to 400 on the close. The SOX should start consolidating from this point, which takes out a key driver of this recent rally in the near term. Here are the charts of both the Dow and the SOX: click chart to...
THE POWER OF GENERATIONAL TRAJECTORY POINTS: STARRING THE DOW
The generational trajectory points from the 1930s Great Depression era are causing havoc in the Dow. In fact, these trajectory points (pictured in the chart below) have been causing havoc since the recovery off the 2009 lows. The power of these generational trajectory points is clearly demonstrated here. As is the importance of a break above 13,500. A break that will usher in a brand new bull market lasting for years to come. Here is the chart: click chart to...