Better Triptych Than Cryptic

I can literally see you guys scratching your collective heads, so let’s precede the charts with what the heck a ‘triptych’ is supposed be. Here you go – lifted right off Wikipedia: A triptych is a work of art (usually a panel painting) that is divided into three sections, or three carved panels which are hinged together and can be folded shut or displayed open. It is therefore a type of polyptych, the term for all multi-panel works.

2014-08-29_spoos_update

Well, I guess that cleared it all right up then, didn’t it? And you’ll be happy to know that all triptychs presented today were painstakingly hand-carved by yours truly. That’s right – we spare no expense here at Evil Speculator! (RIP Richard!)

Alright now seriously – it’s the end of the month and since the tape is diddle daddling around the 2k mark, pretending that it has any real meaning, this is as good a time as ever to revisit a few of our long term charts. And guess what – we’ll do it triptych style, meaning we look at the daily|weekly|monthly panels side by side. This way we are able to better discern where potential inflection points are present.

2014-08-29_spoos_triptic

Starting of course with equities here we have the E-Mini futures – purists would insist on charting the cash but on the long term side I think it’s acceptable to use them as price differences sort of wash out. As you can see there is – well, actually there’s almost nothing to be seen here in terms of upside resistance. I see a truck load of weekly and monthly support, for that matter. For instance there’s the brand spanking new NLSL on the weekly backed up by the 25-week SMA. On the monthly we’ve got the diagonal from hell which has been frustrating the bears for several years now. And every month higher produces another stepping stone for the bulls per the Net-Line rules (see the cheat sheet).

So we are looking at a solid trend here folks and if you cut out all the noise it’s never been really threatened this year, despite the little drop we recently played quite effectively.

2014-08-29_DX_tryptic

This chart paints a big smile on this lowly expat’s silly face – old bucky finally got its groove on and there’s really nothing holding it back until about 83.5. That is where I expect to be scaling out of those long positions which have been adding much ill-gotten gains to my trading account.

More non-cryptic triptychs below the fold – secret decoder ring required:


More charts and commentary below for anyone donning a secret decoder ring. If you are interested in becoming a Gold member then don't waste time and sign up here. And if you are a Zero subscriber you get free access to all Gold posts, which gives you double the bang for your buck!

Please login or subscribe here to see the remainder of this post.

Well, it’s been a fun and most of all – very profitable – summer for us steel rats. If you played along then you pad yourself on the shoulder and reward yourself with generous helping of your favorite malt beverage. Your mileage may vary but you know what that means for this old market megalomaniac :-)

german_beer2

Prost!

Forex Plays

Judging by the participation in the comment section you guys aren’t amused by today’s tape and I can’t really blame you. So let’s mosey over to the Forex side as it’s looking a lot more tantalizing.

2014-08-27_DX_update

The Dollar is taking it on the chin today and the DX is now back at the 100-hour SMA. That’s actually rather healthy as I prefer it see take a breather and shake out some weak hands as opposed to snapping higher and painting a blow off top. Let’s see what happens here – a close today below the daily NLSL could lead to more downside – however, I would watch the 100-hour, if it holds this may be contained. Next support zone is near 82.13.

2014-08-27_EURUSD_setup

I’m short the EUR/USD right now just before its daily NLBL. That is an excellent entry until it clears that 100-hour SMA. Not averse to flipping if being stopped out. It’s been an extended sell off for this pair and if it manages to finally clear a daily NLBL we could see a little jump higher shedding some of the fat.

2014-08-27_AUDUSD_setup

AUD/USD – very nice formation here and also consider that juicy Bollinger compression on the daily. I want to be long above that NLBL with a stop below today’s lows.

2014-08-27_AUDJPY_setup

Finally AUD/JPY – this is an hourly play on a breach above the current NLBL. If it does then we could see an extended squeeze here, which would not be out of the norm for a currency pair. Many top callers here and although I’m only going to drop 1/2R into this it may pay off well if it catches some traction.

It’s not too late – learn how to consistently bank coin without news, drama, and all the misinformation. If you are interested in becoming a subscriber then don’t waste time and sign up here. The Zero indicator service also offers access to all Gold posts, so you actually get double the bang for your buck.

Cheers,

Let ‘Er Run

I’ll be quick today as there isn’t much to be said until the boyz at Jackson Hole are done laughing in their gold plated seats. Just about now they should be getting frisky and inaugurate the entertaining part of the conference by throwing darts at an IMAX size map of the world. As good ole’ George once said – it’s a big club and you ain’t in it. Console yourself by the fact that at least you’re here, which means you saw the light and learned how to focus on the few parameters you have control over. The rest is just noise – it’s entertaining here and there but mostly it’s just noise. Focus on yourself and your loved ones and you’re going to be fine.

Anyway, I do not recommend taking on any positions at the moment, the exception being your automated systems and even there I would suggest reduced position sizing.

2014-08-21_NQ_update

On the equities side it’s turned into a squeeze from hell, but as you can see the candle ranges are getting shorter and that means we’ll most likely are going to see either a fast blow off top or a correction by the EOW. As I’m managing this campaign Heisenberg style I’m now trailing it (manually) at 25% of 5R. Which means that spot below the daily NLSL is perfect for riding out any shallow reversals. If we get more than that it’ll probably dip much deeper, perhaps up to 50%. It’s been a brilliant campaign so far and at this point we just watch and let it play out.

2014-08-21_DX_update

 

Ditto on the Dollar side – it spiked to 6R today and I intend to hold this one as long as possible. Remember, let those winners run. Sorry the chart is wrong – I was blinded by all that green apparently. It should say 6R but my stop is in the right place, trailing at 1.5R (~25% Maximum Favorable Excursion). I never thought this one would run this far but I’m not one to look a gift horse in the mouth – some of those mares have a bad temper!

So, no setups until Monday – I’m actually keeping myself busy with some pretty advanced quant project. Nothing like giving that ole’ noggin’ a little kick every once in a while. BTW, how’s everyone enjoying DarthMole?

It’s not too late – learn how to consistently bank coin without news, drama, and all the misinformation. If you are interested in becoming a subscriber then don’t waste time and sign up here. The Zero indicator service also offers access to all Gold posts, so you actually get double the bang for your buck.

Cheers,





    Zero Indicator


    Darth Mole Alerts

  1. poll

    • What is your average spread on the EUR/USD?



      view results

      Loading ... Loading ...


  2. search warrant


  3. recent misdeeds

    1. Monday Setups
    2. Better Triptych Than Cryptic
    3. So Far So Good
    4. Forex Plays
    5. Long Term Perspectives
    6. How To Let Your Winners Run
    7. Double Whammy
    8. Let ‘Er Run
    9. Irrational Escalation
    10. Squeeze-A-Licious




  4. yes we can!



    NinjaTrader
    Kinetick