Summary:
Symmetrical Triangle is formed, wait for the breakout.
| Trend | Momentum | Comments - Sample for using the trend table. | |
| Long-term | Down | Idea for trading intermediate-term under primary down trend. | |
| Intermediate | Up | Neutral | |
| Short-term | Up | Neutral |
Nothing to say today, the consolidation continues, the direction is unknown. From my experiences, a consolidation on the high end of an uptrend is more likely to result on the upside. But for me, even it eventually does breakout on the upside, I might not chase high here. Tomorrow, no idea, a little bit speculation here though: 06/10/2009 After Bell Quick Summary.
1.0.2 S&P 500 SPDRs (SPY 60 min), could be a Symmetrical Triangle in the forming, which according to Bulkowski, the chart pattern expert, has 54% chances of breakout on the upside. Well, 54% is no better than a random number, so still no clue about the direction...
3.4.1 United States Oil Fund, LP (USO Daily), reaches an important resistance, plus 3.4.2 United States Oil Fund, LP (USO 30 min) has lots of negative divergences, so could pullback tomorrow.
If a weak 10 yr treasury auction can't spur selling beyond a few S&P points, nothing will. The bulls won today, although I don't think the retail bulls deserve credit. The market is either being forcefully held up by a guiding hand or, as you said, just consolidating before the next leg up. In any case, although I'm short right now, I see no reason why the market will sell off pending some unforeseen disaster. Even then, the market will probably go up 5% on a short squeeze. Terrorist attack kills thousands? Well, at least the unemployment rate might get better with fewer people around. More green shoots! Better than expected! Recovery is here!
ReplyDeletelook out below, breadth sucks and it's all in dumb shit....
ReplyDeletehyperinflation my ass...
Cobra:
ReplyDeleteCould we see some GLD/GDX/XAU analysis on future postings? Where is Gold heading in the short term?
Thanx!
time for long/short straddle with stops just above the Resistance for Short and below the Support for Long side then wait for a catalyst to break it up or down...what do you think Cobra?...thank-you...
ReplyDeleteps:it seems that all trends now depend on USD and future interest rates, agreed?
Freddy,
ReplyDeleteGold as indicated by HUI is going through a mini correction because of the dollar rise...
2c
Cobra,
ReplyDeleteCould we see current developments on the bullish percent index in your next update?
Thanks again for your work.
Every chart I talk is also in my public chart book in stockcharts.com, you can always find them there. The link is on the top left corner of this blog.
ReplyDeleteThe BPI now is very overbought.