Now Reading
Time For A Little Bounce
315

Time For A Little Bounce

Time For A Little Bounce

by The MoleJune 24, 2010

I’m attending a private function tonight, so I don’t have much time for a post. Can’t leave my stainless steel rats without a road map for tomorrow though. But before we get to the chart, here is a crash course on how to become a contrarian:

That’s it – now you’re ready for tomorrow’s session.

Soylent Orange gained a lot of credibility today but we are not out of the woods yet. I’m currently counting only seven waves down and we need nine for a complete motive. So I am condoning further downside, despite the short term oversold conditions right now.

It’s also possible that this is it and we are pushing into Soylent Green now – a seven wave count would be a corrective move and part of an {x} down. Then again – sometimes you simply can’t rely on small degree counts and based on the weak performance of equities today, despite all the odds and market conditions favoring a rise, I am giving a push into 1100 followed by a drop the highest probability.

Bottom Line: Don’t chase this move down as it could end very soon. Soylent Green is still absolutely valid – so don’t get too complacent. A breach of 1053 would most likely disqualify Soylent Green – but until then it stays in the race. If you are banking on Soylent Green then today was your chance to grab those debit spreads I advertised yesterday – if we don’t gap up tomorrow morning use it to get positioned. The immediate drop down (i.e. Son Of Soylent Orange) is not too high on my list as we seemed to be in a bottoming pattern today. If you are banking on Soylent Orange then you could still do a quick spread but I would use the July quarterlies – pro spread traders please feel free to chime in on the subject. Or you can do what I’m doing – nothing – just sit and wait 😉

Cheers,

Mole

Sign up here to receive my FREE early morning briefing:

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 the usual social media waterholes.
Enjoyed this post? Consider a small donation to keep those evil deeds coming!

BTC: 1MwMJifeBU3YziDoLLu8S54Vg4cbnJxvpL
BCH: qqxflhnr0jcfj4nejw75klmpcsfsp68exukcr0a29e
ETH: 0x9D0824b9553346df7EFB6B76DBAd1E2763bE6Ef1
LTC: LUuoD6sDWgbqSgnpo5hceYPnTD9MAvxi6c
PayPal: https://paypal.me/evilspeculator