Buffet sure gave the Trannies a bump today with his announcement, but let's take a closer look at the IYT and see where it's sitting as of mid-session. Double resistance right up the train tracks ahead....
I also wanted to share a close-up view of a chart I threw together in case we see the tape start moving up, as we've all speculated might happen. SPX will face Quadruple resistance, and we know what happened the last time if faced the big 'ol Quad brick wall. Will it hold this time? None of us know for sure, but I have a difficult time racking my blonde brain as to what would push it much higher than the levels I've noted on the chart. This would also fit my own pattern thesis on the pattern that won't be mentioned I charted last Wednesday, as well as a good fit time-wise going forward, if, in fact, we do see the tape move up.
Good trading to you all for the remainder of this yawner of a session, (see, I snuck one in there anyway,) and let's keep focused and use the time to plan and watch if nothing else. Here's my favorite Mark Knopfler instrumental as my thank you to David for his music earlier. This is part of the musical score from a movie called, "Local Hero," set in Scotland... a movie cult favorite and at the top of my all time favorites too...
David here
I’ve been keeping low profile today due to many reasons.
First – I bet like a lot of you I keep falling asleep in the chair. Secondly – I really missed few trading opportunities such as long dollar (was long /DX on Friday(?), closed because did not need that additional fatigue – I am still not quite back).
Gold breakout – not that I trade gold, but that would have been a clean trade. But it is OK, there always is another trade and I’d rather be out of the trade wishing I was in than in the trade wishing I was out.
What I really want to show you here is that the game is rigged, was rigged, will be rigged – so stop complaining and as George said: “If you can't beat them, arrange to have them beaten.”
Look when American All You Can Eat Buffett made an announcement (I am not even asking WHY he bought BNI – I guess “new deal” is sealed and Midwestern railroads will benefit most and good ‘ole vulture front running taxpayers yet again – just like when he benefited from cannot lose GS deal on following “banks are too big to let them fail” bailouts)
I don’t like the guy, I despised people like him all my life, not because he’s got money and I don’t – I respect Steve Jobs, Michael Dell – they created something of a value, all B. did was getting in on only him available info – real Scrooge.
Anyhow – look at few railroads charts – timing of announcement lined up precisely with max possible effect on the long side. I am not surprised that there are a lot of bears who cannot keep emotions out of the game – when I see something like this – it makes me SICK!.
