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Chop Until You Drop
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Chop Until You Drop

by The MoleNovember 14, 2011

Welcome back to the chop zone! There is really not much to be said until we clear what appears to be a textbook symmetrical triangle:

Are we going up – are we going down? Yes and yes. Look, what some of you noobs may miss to understand is that congestions zones like this are pure manna from heaven for market makers. Obviously the tape is stuck in rut here and has been running like a hare since early August. If you read my weekend update then you have a pretty good idea of why the odds are pretty lousy here.

To predict the outcome of this chop fest is a sucker’s game – instead I recommend we wait until this thing is ready to resolve one way or the other. If it does we may see some early warning signals on the hourly spoos or the AUD/JPY. If we do I will let you know of course.

The patient traders waits his turn and lives to trade another day. Remember, you do not have to trade every session. Of course your clearing broker would disagree ūüėČ

Cheers,


About The Author
The Mole
Mole created Evil Speculator amidst the chaos of the financial crisis in early August of 2008. His vision for Evil Speculator is a refuge of reason, hands-on trading knowledge, and inspiration for traders of all ages and stripes. You can follow him and his nefarious schemes at various social media waterholes below.
  • rhae

    Sym. T   just winding up the spring

  • http://twitter.com/koreaninvestor koreaninvestor

    Thanks for the update. I’ve been sitting on my hands of late. Until this gets resolved I plan on really working out at the gym and checking out the MILFS. Best time to go is 10:30am.¬†

  • Anonymous

    sweet post Mole thank you.

  • http://practicalt.blogspot.com/ Gold_Gerb

    do the sands of time pile up in the Gobi as we trek back and forth?

  • http://evilspeculator.com molecool

    An admirable quest I fully support! :-)

    ??????!

  • Anonymous

    Yes, im waiting for the right trade too
    http://cdn2.mixrmedia.com/wp-uploads/ziggytek/blog/2011/01/skeleton-computer-400×272.jpg
    (disclosure – small oil short)

  • Anonymous

    pos div on zero

  • http://evilspeculator.com molecool

    Still a bit subtle – let’s see…

  • Anonymous

    Goldman recommending Gold

  • Tronacate

    ES     300 min channel

    http://screencast.com/t/pzdqS3Elx

  • Anonymous

    Time to sell it. Paper gold I mean.

  • Anonymous

    I would say good for a touch at 1260 or rather being slightly negative or positive for the day.

  • http://twitter.com/koreaninvestor koreaninvestor

    Your Korean is pretty good! I know you love the Korean ladies…ha ha

  • http://evilspeculator.com molecool

    Heck, that diet is really working for you!

  • http://evilspeculator.com molecool

    ?? ?????!!

  • http://evilspeculator.com molecool

    ??? ? ???… :-(

  • Anonymous

    Mole, we had a little discussion over at the last thread, not sure if you saw it. What do you think about silver? Volume on SLV has been dropping ever since spring. It think this could be good for a breakout to the downside, especially since volume actually retracted even more while price increased and spiked a little every time the price dropped.
    We are currently below most SMAs on the daily chart so no support there except for the lower Bollinger.
    Silver has been underperforming gold for quite some time now and never managed to rise above its October high (unlike gold). If this thing were to drop and drop faster than gold at that, the silver/gold ratio would drop even further than on the chart you posted this weekend and amplify the developing divergence.
    Bottom line: I think silver might be useful right now as a canary in the coal mine for the overall market direction in the intermediate to long term.

  • http://evilspeculator.com molecool

    It’s fucking hard! For instance – you guys use a siot in ‘motaeyo’. It’s the same in ‘suko hat submnida’ – a double siot in ‘hat’. I’m getting the hang of it but Koreans keep laughing when I use it – hehehe…

    Maybe I should get her as a personal tutor:

    http://www.youtube.com/watch?v=CdiR-6e1h0o

    yummie…

    It’s fun going to Korea town here in L.A. though – you should see their faces when this white boy asks them for ?? (my favorite)

  • Anonymous

    ??? ?? ??? ??

  • http://evilspeculator.com molecool

    But women love Korea? Huh??
    ???

  • http://evilspeculator.com molecool

    I actually (implicitly) covered silver in my weekend update. Did you see that?

  • http://evilspeculator.com molecool

    I actually (implicitly) covered silver in my weekend update. Did you see that?

  • http://evilspeculator.com molecool

    If anyone can tell me where to get ‘manul chong’ (garlic sticks) here in L.A. he/she gets a free week of the Zero. For some strange reason I got hooked on it in Seoul.

  • Anonymous

    NEW POST!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

  • Anonymous

    I did see you posting the ratio, but I’m approaching this from another angle, namely the numerator in that that getting smaller. If this happens and thereby fulfils the non-confirmation with gold, that ratio might drop a lot further and create a way bigger divergence with equities. That’s my point here. The second option of course is silver resolving to the upside, eliminating the non-confirmation and the ratio’s divergence in comparison to the SPX. But as this presents itself right now, I think the first option is more likely due to the volume profile.

  • Anonymous

    Stupid Google Translate!

    Was supposed to mean: But I love Korean women

  • http://evilspeculator.com molecool

    Yeah, Korean ain’t that easy. Maybe koreantrader can help us out…