It Keeps Going And Going And….

The Energizer bunny continues its merciless march higher and we just may scrape the 2100 mark before they call it a year. Yes, my account is blinking bright green but that’s only half the fun. What really gives me the most joy is to watch all those talking heads picking tops over and over again only to get squeezed into oblivion. If you’re a bonafide masochist then do yourself a favor and continue to the take the other side of my trades.

Better luck next time cupcake. What was that old saying again…. oh yes – never step in front of a speeding freight train. That and to let your damn winners run without you mocking it up due to some fancy chart you fell in love with!

2014-11-21_ES_briefing

Talking of which I’ve got my sights on the 14R mark now – officially this has become the highest earning single campaign of this year now, even outdoing the huge Dollar run we enjoyed a few weeks back. I guess I should stop posting this chart by now as you guys are probably ready to ride me out of town on a rail ;-)


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You have been briefed – now have fun but keep it frosty. See you guys later this afternoon.

Cheers,

The Bots Are Back!

The bots are ba-aaack! And it was about time as my crew here was getting bored out their minds. So with a bit of luck and scotch tape we may be on route for our ill-deserved annual Santa Rally. Let me get you guys up to speed:

2014-11-20_UVOL

Exhibit A: Today’s UVOL/DVOL plots - in particular the early morning gap & ramp was run like clockwork and that green UVOL curve is via some damn Mathematica function. I for one welcome our new old robot overlords!!

2014-11-20_SPX_Zero

Exhibit B: The Zero panel shows marginal participation but the morning buying frenzy was perfectly timed and apparently triggered a few dominos. That’s how it’s done, steel rats! If nothing else remember this chart for posterity - file it under ‘shot term bear traps 101′.

2014-11-20_hanmer_time

As of right now it’s looking pretty bullish here and if Thor hadn’t died and come back as a woman (damn you Stan Lee!!) he would be all over that bag of hammers on the spoos. If it ain’t broken don’t fix it – meaning until further notice my stop for my long positions remains near 2028.

It’s been pretty thin on the setup side this week – today I was only able to find one measly chart. And sorry folks – I got to keep that one for my intrepid subs. So if you got a secret decoder ring then please meet me in the lair:


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.

See you guys tomorrow.

Cheers,

An Impending Trend Shift?

With the exception of equities we have been seeing a pronounced shift in market behavior across the futures as well as in Forex. Once again it drives home the point that one’s approach has to constantly be gauged and if necessary modified in response to shifting market phases. Or in other words - none of your trading strategies/approaches work all the time – the trick is to apply the proper market strategy to each discrete market phase.

2014-11-19_gold_pnf

Gold for instance has been stuck in a pretty uneventful sideways churn for most of the year. Hunting for an trend trades on the precious metals side would have been a total waste of time which is why we barely touched it all year. Just look at the P&F chart above – note that the part covering 2014 is a quarter of the size of that of 2013. Reason being – P&F charts do not track time – they only focus on price, which is why I appreciate them. If there’s no movement then no boxes are added to the chart.

That may however soon change. Gold just painted a low pole reversal warning and that means the bears are officially on notice. And as coincidence would have it we do have a promising setup on the roster today:

2014-11-19_gold_setup

We have a nice hammer formation there on the daily panel – right underneath the 25-day SMA. I would take a breach of today’s highs with a stop below yesterday’s lows (today’s a bit low for my taste). Pretty simple setup but be aware that it’ll most likely try to shake you off. When it comes to precious metals every campaign has to be earned.

2014-11-19_FXE_pnf

The EUR has been among the trending charts this quarter – but until August it had barely painted any boxes on our P&F chart. Then Draghi announced a whole new battalion of printing presses in response to lackluster GDP growth in the EU and the rest is history. I have been enjoying the sell off quite a bit as you can imagine but the downside ride may be over soon as we are but a bagel throw away from producing a low pole reversal as well.

Are We Due For A Trend Shift?

Now if both the EUR and gold turn then it may also mean that equities are due for a much needed correction. Seasonally however that would be an incredibly inopportune time for the bears. Not that the Santa Rally is chiseled in stone but it’s rare to see any significant corrections this late in the season. Not to second guess what may happen next (which is usually out of touch with reality at any rate) I have decided to simply keep my trailing stops where they are and let the chips fall where they may.

That’s all I have for today folks – nothing exciting to report on the setup front. And quite frankly – given the recent gyrations across board I am a bit cautious and when my Spidey sense tingles it’s usually good medicine to remain extra selective when picking entries. See you guys tomorrow.

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


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  3. recent misdeeds

    1. The Slow Walk-Down
    2. It Keeps Going And Going And….
    3. The Bots Are Back!
    4. An Impending Trend Shift?
    5. Fade The Noise – Play The Game
    6. Tuesday Morning Briefing
    7. Painful Ping Pong
    8. Volatility Tales
    9. Rational Ambivalence
    10. Thursday Morning Briefing