by Anthony Cherniawski, The Market Oracle:
The VIX bounced from its 10-week moving average to complete a minor retracement, then closed above its 40-week support at 17.43 this week. A breakout above the inverted Head & Shoulders neckline and mid-Cycle support/resistance at 20.83 announces that a Third Wave is underway with substantially higher targets. Once the initial target is met, VIX has a shot at Cycle Top resistance at 34.02 and possibly [...]
By Stewart Thomson
1. If something is broken, it can often be repaired. If your car is in an accident, you take it to the repair shop.
2. If you go to the repair shop and see it on a hoist with mechanics working on it, the odds are good that repairs are being made.
3. Junior gold stocks are the passion, and arguably the lifeblood, of the gold community. They have been broken, like a car in [...]
From All Star Charts:
We saw a nice little 60% move in natural gas prices over the last three months. But was that it or are we still going higher?
It looks to me like they put in a pretty solid base that took six months to form. So the setup is there. We have a clear neckline around $2.75 that’s now been broken. The month-long consolidation around those levels has allowed [...]
(Reuters) – Mexico’s electoral authority apologized to voters on Monday after a sober presidential debate was upstaged by a former Playboy model and her revealing outfit.
Clad in a tight-fitting white dress with a cut below the neckline to show much of her cleavage, Julia Orayen was working as an assistant on the televised debate, which focused on the economy and the drug-related violence ravaging Mexico.
At the start of Sunday night’s [...]
From All Star Charts:
Sector rotation is something we talk about a lot. This is a really important characteristic for bull markets and we can’t ignore it. So with Consumer Discretionaries and Financials sitting at or near their year-to-date highs, we turn our attention to some global growth areas.
Think about how strong the stock market has been without the participation in energy and basic materials. Last Friday, we discussed that it [...]
The market onslaught of the last week is now staging a snap-back
rally. As I write this Sunday evening the S&P 500 has pushed to
1,143 in the futures markets. This was to be expected as we’d come up
against the neckline for the Head and Shoulders pattern I noted the last
a larger perspective, 1,110 is a line of MAJOR support. The S&P 500
spent a major portion of 2010 at this level. [...]
by The World Complex
The Rise And Fall Of US Confidence
Today we look at a graph of confidence in the US system. The US confidence ratio represents the ratio of outstanding US Federal debt to the dollar value of US gold holdings (as reported*). No corrections for inflation should be necessary, as both terms are valued in the same depreciating dollars. We use [...]
The S&P 500 triggered a scary technical signal — a head and shoulders pattern in the chart — leaving investors to wonder if it’s the sign of more selling to come — or just a head fake.
The so-called head and shoulders pattern is formed when the chart pattern shows three rallies, with the middle rally peaking higher than the first and second, thus creating a [...]
By Mark Hulbert, MarketWatch
CHAPEL HILL, N.C. (MarketWatch) — As if we didn’t already have enough to worry about, with a completely dysfunctional political system possibly leading the government into a default, a prominent technical analyst just issued a bombshell:
According to an email he sent out on Tuesday, the stock market is very possibly forming a massive head and shoulders top — with quite bearish [...]
by FMX Connect
The last two weeks have not been good to gold. A new all time high came and went, and the market swooned $60.00 off that level. We now look like we are in a flagging bearish formation with a steep drop to follow if we pierce the 50day moving average again.
From Nic Lenoir, one of our favorite technicians courtesy, Zero Hedge.
Precious metals [...]
From Nic Lenoir of ICAP
Data this week is relatively light given and it’s a holiday week. 3rd Quarter GDP at this point has no informative value regarding current and future economic activity. The slew of housing data is also inconsequential. Everyone knows housing is in a double dip so any slight improvement will be used by pundits to talk up the economy but fundamentals remain in the dumpster. Continuing claims [...]
From Nic Lenoir
After sitting all day on supports yesterday, we were graced by an afternoon rally courtesy of a double P.O.M.O. by the Fed. These liquidity injections have so far maintained us above the 1,170/1,172 neckline of a potential H&S pattern as well as the 50-dma. As I have long highlighted, following my friend Julian Brigden’s lead, financial asset prices since the dotcom bust have [...]
Afternoon all. It looks like golds overdue correction is well on it’s way.
Then again maybe not so much.
I have this nagging feeling at the back of my head that this this thing is just a fear driven dollar play. When you unload stocks you are automatically buying dollars, (at least if you’re in the U.S.)
Remember that the DXY has now fallen into what’s called a head and shoulder [...]
by Jan Paul
It is quite possible the dollar bubble has run its course. It has been propped up for 40 years (often the lifespan of a fiat currency from what I have read). Now, the world appears to be moving away from it, our government is devaluing it, and we can’t service our debt if interest rates return to normal.
Gold may not go up in value but, to the dollar, [...]
Only 4 or 5 times in the last 10 years has the 5-week MA on the NYSE advance-decline line ($NYAD) crossed above 1250. Now is one of those times.
The previous 2 were on each side of the 2009 market low. The one before that was shortly before the 2007 market high. And before that, the AD line more or less touched 1250 in 2003 as [...]