Monday, June 07, 2010

Reading the Tea Leaves

Mutual Fund Mondays seem like a thing of the past already, don't they? After sacrificing my NBA team to the Celtics last night in order to help you all stay profitable today, we had yet another sell-off into the close. I picked a bad time to be a Lakers fan, but I'll take a hit for the team, no problem. :-)

The most notable close today, imo, was watching the RUT close under the 200 for the very first time, as this is the risk appetite trade, and it looks like someone has lost their lunch for now.

We start all over again tomorrow, and with that.. here are some charts below to help us plan for the next move. (Many thanks to JoeyN and Osi.)  We have not had a true capitulation style fall yet, but be aware it could be right around the corner lurking. Have a plan at the ready - no knee-jerk reactions.  Obviously a test of the 1040 area will be interesting to watch, and if that doesn't hold we have several targets between 1020-1013, via DeMark, EW and traditional TA views. Do we get there? Only Madame Ruby knows for sure. Keep in mind that next week is OPEX, and the following week is the Fed meeting, followed by the next G-20 sham-wow.  Also: a shameful plug for our own Scrillhound’s blog for those who are interested in Gann.  He’s doing a wonderful job, and has some incredible lessons and charts over there if you’re interested.

indu_eod_2_6_7 rut_eod_6_7 ndx_eod_6_7
vix_eod_6_7 myno_eod_67 nymo_eod_67



Joey’s Chart on Copper

copper joeyn

Osi’s Charts

GannChannelTrade osi 2



Madame Ruby says, “trade well tomorrow TTWrs.”

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