The Big Bucky Ramp

Sounds like the title of a movie. Yes, it’s that time of the week again – old bucky continued to run wild and if you’re still in this trade you probably want to know when to exit or when to grab a few short positions (or EUR/USD long positions).

As expected ole’ Bucky continued its run up and the little correction we saw most likely was a running flat. Despite my count on the chart I’m not sure if this is a fifth wave however. I keep pointing out that fifths often extend in currencies and commodities, so let’s remember that. We may still be in a sub wave of three, but in terms of trading this thing this is really academic. Many Elliotticians waste their time guessing the exact shape of a wave form when they simply should plow into positions at the onset of a third wave. Finding the right exit then is where wheat separates from the chaff. As I said above – the odds are telling me to not be greedy and to take partial profits here. The wave count looks pretty motive and bullishly aggressive to me, thus I personally would keep some skin in the game at the hopes of getting to 85.08. I’d be out and then done there.

Does not mean we can’t go higher from here – we may be in a third of a third and this thing could get pretty crazy for a few more weeks. Short term I would expect some small pull back in the next few days – if so holding to 82.8 or even 82.5 makes sense as the statistical frequency for a long bounce is extremely high there. Once we see some significant down candles we’ll be talking about long reversals right here. Until let’s focus on short reversals.

UPDATE 4:35pm EDT: I just had a moment to catch up with a few symbols. EJ seems to go with the program:

Where did I say it would bounce? Hint – look at yesterday’s post. And where DID it bounce? 😉

Not saying that there won’t be a retest tomorrow – but – that was one sweet entry in my book – and that’s how we roll here at the evil lair. Subs see those posts first and when it matters, meaning during the session or beforehand. If you are interested in becoming a Gold member then don’t waste time and sign up here.

And to show you that I’m not full of shit like some other symbols slinging bloggers here’s one that decided to be a coffin nail. CREE breached my stop at slightly below 70 and then bounced back. What a bitch. But a stop is a stop and although I believe that a bounce will be forthcoming I have to be disciplined and stick by my guns. Another lesson you will learn here at the evil lair – you don’t have to be right all the time in order to bank coin on a consistent basis. Actually you could be wrong 50% of the time and still wind up winning. Of course I do my very best to improve the odds by quite a margin – that’s for sure 😉

Cheers,

Mole