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Heavy Metal

by The MoleJanuary 26, 2012

Today’s a fine opportunity to bring back an old Evil Speculator tradition – of the heavy metal kind, that is:

Rammstein at its finest, baby! In case you care, ‘wohin gehst Du’ translates as ‘where are you going’ in English – a question we stainless steel rats have in our mind on an ongoing basis when it comes to assessing the tape. Now before we get to the ‘real’ heavy metals we must first visit the core catalyst of their continuous advance, which of course is the U.S. Dollar:

Remember when I told you guys to get out of ole’ bucky a few weeks back? It’s been a sea of red since – so feel free to send the Mole your (hot looking) virgins or other offerings of worship. Anyway, if you are short then I suggest you take profits near 79 – it’s been a good run.

But the chart that depresses me the most right now is the long term P&F on ole’ bucky. We are looking at quite a bit of technical damage here and the current bearish PO is near 77.4. That’s very bad news for the Mole’s European vacation plans and it seems I may have to hitch a ride with Chevy Chase.

On to the metals – a relatively light one first so to speak – copper. It’s now near my T1 target range near 4.0. I think it can push a bit higher but I would probably start taking profits here. And once again – do you remember when I drew that diagonal support line and told you guys that any touches remained great buying opportunities? How many of you rats dipped into that one? I want to hear battle stories – bring it on! 😉

And here’s the P&F for good measure. Seems on a long term basis the bullish PO is near 5.1 – wow, that’s something. I think we may get a little shake out in between but keep that in mind and even if we drop hard keep in mind that 3.5 will act as support.

On to the real heavy metals – members only please – you know how to get on the list:

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More charts and cynical 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 or Geronimo subscriber it includes access to all Gold posts, so you actually get double the bang for your buck.
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Gold – of course – it just heaved itself above some rather considerable resistance and has pushed into the clear. Frankly, there’s nothing but air above and I’m thinking around 1820 for my preliminary target. If you’re not in then you may want to wait for a retest of 1700, although there’s not guarantee we’ll get it – once commodities run they run.

This is yesterday’s P&F which showed us that we were in the process of testing long term diagonal resistance. And of course today we pushed above it and that means we are now officially in the clear.

Very same setup on the silver side – almost identical. Target range near 39 – that would be rather superb if we can get it.

Again, this is yesterday’s P&F chart and we have already overcome that diagonal resistance line – very very bullish.

That’s it for now – equities continue to look a bit iffy and unless we see a decent correction I have very little interest in taking on either short or long positions.

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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.
  • Joe_Jones

    Wow this is a bullish post, mate.

  • Kudos

    /ng bounced off its 100 hour MA, took a small position 

  • Anonymous

    nice post! 

  • http://evilspeculator.com molecool

    What do you mean? Should I bearish on any of these charts? Please elaborate.

  • Anonymous

    Aud/Usd taken off table for nice chunk. I knew .06 short would be a lousy place, but near .07 would be perfect. re-setting short entries at .0650 and .0600

  • Joe_Jones

    I mean your outlook on the PM is quite bullish. If the correlation with the stocks remains we should get quite a bit of risk on momentum.

  • http://evilspeculator.com molecool

    muy agradecido

  • http://evilspeculator.com molecool

    Maybe – but what’s key here is that we lifted above some considerable resistance and even if we drop it should act as support now.

  • TwinTurboRX7

    now we have positive div on zero…BFTD?

  • http://evilspeculator.com molecool

    That is a rather interesting signal…

  • http://evilspeculator.com molecool

    Also look at where the AUD/JPY and EUR/USD are trading right now. Ninety minutes left in the session… 😉

  • TwinTurboRX7

    I think the fx pairs has travelled in the direction farther than spoos…

  • Anonymous

    However, the hourly signal is saying otherwise.. May wan to try going long soon and unload it into the close?

  • Anonymous

    Only copper is giving a positive divergence signal on intraday.. may need to wait a bit

  • Anonymous

    The beach party sure looks like it got better after the sun went down. Apparently the girls had their bikini bottoms munched on by a moth leaving only a thin strip between their cheeks. Don’t thank me , I enjoyed it.

    Is Till’s “red shorts run” supposed to be a take off on David Hasselhof in that old beach show whose name escapes me? What is it about Germans and Hasselhof?

    Well at least they don’t like Jerry Lewis, a fondness for Lewis, yep that one’s on the French.

  • Joe_Jones

    What do you think of the last 2 days reaction in US 30y bonds?

  • Anonymous

    Looks like we had 2 failed div on the 5 min.

  • Anonymous

    Sweet Vid Mole!!!

  • Joe_Jones

    I really like the signal on the 60 min (unsmoothed) zero

  • http://evilspeculator.com molecool

    And now we get the inverse again – butt ass crazy tape today. Be careful folks!

  • http://evilspeculator.com molecool

    I liked Lewis as a kid – not anymore.

  • Anonymous

    Get off that 1313 will ya?

  • TwinTurboRX7

    rough hourly zero pretty much sticks in the negative teritory.

  • Anonymous
  • Joe_Jones

    For me what matters long-term is how we finish this month:
    http://stockcharts.com/h-sc/ui?s=$SPX&p=M&b=5&g=0&id=p89303759482
    If the monthly candle looks like a shooting star then the RTV signal on the monthly might just turn out as a fake out, and then the opposite should happen (violently too). If we stay close to the highs on January 31st, I’ll be changing my avatar again, and this time I will add horns to it.

  • Joe_Jones

    bulls seeing red

  • Anonymous

    I believe it was Rightside who pointed out we’d like to see a monthly close above 1327.22 to finish a DeMark countdown, and that was best for the bear case.

  • nyse

    Adding more shorts here.

  • Joe_Jones

    On the light side so to speak:
    Italian Cruise ship captain Francesco Schettino began his new job as a bus driver yesterday…..

  • Anonymous

    Yeah, I used to like the rock group Kiss. Guess we both wised up.

  • Anonymous

    Yeah, I used to like the rock group Kiss. Guess we both wised up.

  • http://evilspeculator.com molecool

    Ha – me too! :-)

  • http://evilspeculator.com molecool

    News flash! Bus filled with school children plunges into lake.

  • Joe_Jones

    According to an eye witness report, the driver was seen drinking just before the plunge with a Moldavian school drop out.  

  • Joe_Jones

    I guess we just have to wait and see. I wonder what are the Convict’s views on that?

  • Fibz

    just noticed this site seems to be averaging more comments per post than zeroedge. are they losing participation?

  • Anonymous

    Difference would be even greater if you remove the ZH comments that begin with ‘gold bitchez’

  • nyse

    that “bitchez” bit is SOOOOOOOO played out.

  • Joe_Jones

    ZH traffic peaked in Q3 2011 and has been falling off since
    http://www.alexa.com/siteinfo/zerohedge.com

  • Fibz

    High Impact Search Queries for zeroedge . com: louis vuitton handbags

    Audience: 65+

  • Anonymous

    Well my short from Monday/Tuesday is at break even today. I had planned on closing it if it got back to here but decided to hold until tomorrow to decide. If we go down, that was what I was expecting and it’s back to plan A. If we go up then it seems to me we are probably back to trend (up) for awhile. In that case this is not the correction you are looking for *waves hand*

  • Joe_Jones

    We got some decent volume on SPX for a red day in an uptrend

  • Anonymous

    I know you evolve — hell you gave up on EWT. I admire that. At my age (46) I must evolve or die. I am sure I will have an eternity to stand still.

    I always ask people around my age what new (to them at least) music you are into, or what have you stopped listing too? If they still like all of the stuff they liked as a kid, or only the stuff they liked as a kid, then I can predict I will not like them.

    While I am pretty sure we both gave up on Kiss awile ago  (I was in the Kiss army!), I still enjoy some bands I liked as a kid. Killing Joke comes to mind, bet you still enjoy them. “Inside the termite mound” would (o.k. I know that’s early 90s but hell at my age mid 20s is a kid, and was into them since early 80s) be a great song to play after a big trend day up.

  • Joe_Jones
  • http://evilspeculator.com molecool

    I wouldn’t want to over think it – some things have a more timeless quality than others. The Beatles will always be kick ass – even hundreds of years from now. KISS was great during its time but when compared to the metal we get to enjoy today it’s rather basic. Not that I don’t enjoy their tunes every once in a while when I catch them on the radio – but I wouldn’t buy a CD these days, no.

  • http://evilspeculator.com molecool

    Oh, I didn’t see the picture when you posted it – you basically made my joke :-)

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

    PEAK BEARS

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

    PEAK bitchez!

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

    Prediction for 2012 – elliottwave intl will go bankrupt – surely no-one is still subscribing?

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

    :-)

  • volar

    random stat since 1990 (Remember the great bull market skews the data a bit)

    http://content.screencast.com/users/wprosser/folders/Jing/media/1b3228ba-211f-4964-a8d9-16998db754cf/2012-01-26_1515.png

    nuts

  • Anonymous

    Agree to all the above. Timeless vs. in “its time” sums it up well. Metallica still stands up well though. Even the older stuff. 

    Now I feel like cranking some tunes.
    Keep it loud in L.A. Mole. Remember: If the cops ain’t knocking you ain’t rocking!

  • Anonymous
  • Anonymous

    placing any bets? which way?

  • Anonymous

    still employing short guerrilla attacks. Tactic worked very well with EUR/JPY. minimize losses heavily, just takes more of your time viewing the markets though to reposition orders accordingly. Like I had to yesterday for this pair. BTW I have went long EUR/CHF again.

  • Fibz

    I’ve closed my forex account, but will get back into it once I find a better broker than FXCM.

  • Anonymous

    Wait for Moles report. Hes promised us a review on brokers in FX.

  • volar

    random new post

  • Anonymous

    Awesome vid bro!