Monday, August 02, 2010

Stay in Your Cage

... it might not be time to come out just yet. I need to make this short and sweet tonight, but wanted to toss out a few ideas should we be looking at more tape floating in the next few days. I'm still tracking the Gartley on /CL, as well as keeping my other eye on copper up here. If you look at the possible targets on these two, it all makes perfect sense, and should come together nicely with the SPX moving into resistance at the same time. For all I know, oil makes its move to finish this off by tomorrow and before Wednesday’s inventory report. But it should also be noted, this pattern can do a belly flop just like any other pattern. Obviously, this isn't written in stone, and nothing more than a guessing game, but I thought I'd put it out here. This scenario would probably also play well with a move of the dollar down to the .618 Fib retracement at the same time. Oh.. if it could be that easy, right? I could just as easily show you the chart on IWM with what could be a massive bull flag with a target of 72.10, so it’s not time to count chickens and/or play chicken with this tape just yet.

What I'm finding interesting at this point is that everyone has their eyes on the same target for SPX and grumbling about the demise of the dollar. We remember what happened when the headlines of the Euro's race to the bottom was everywhere, so it's just something else to consider. The failure of the RUT and TRAN to make new recovery highs intraday is also something to consider. I'm fully aware of some of the resistance levels that were tested and/or breached today in either price or MA levels, but I just don't have time to do detailed charts on those for now. In any event, the IT downtrend is truly in jeopardy as of today.

Good trading to everyone tomorrow. Great day in TTW again! :-) Oh, and before I forget- congrats to our Wheat, Corn and Sugar traders! Well done guys!

copper_eod_8_1 dollar_eod_8_1


Okay.. forget trying to count the D wave and E waves, and enjoy the Count of Tuscany

DDT here
Quick memory trip (writing in the basement with windows closed with dark clauses holding my Mossberg 500 Tactical Edition by right hand and Glock 23 by the left one - paranoia keeps me alive)
Here is from Members Site as of July 21st:

…because daily chart looks like bloody good diamond bottom for all I know…yeah – and again – familiar yellow trendline persisting on SPY chart for a long time now – if it was neckline – would not it break down already???

 Would it be nice to think like crooks and walk like crooks and talk like crooks...look who is talking!

SPX hourly completed A-B-C corrective around January peak, I might expect yet one more push tomorrow morning and then downside "surprise"?
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