Fifty-Two Shades Of Pain

While trading the swings has been fun in the past two weeks I can understand if some of you may be running out of patience at this point and are perhaps even considering to throw in the towel. As a trader it’s very important to constantly self-analyze your emotions – in a way you have to become your own personal shrink (unless you can afford one sitting next to you during trading hours). It’s certainly frustrating to be just ticks away from a juicy long setup, only to be followed by a systematic sell-off. A day later we are a mere bagel throw away from a weekly short setup, and up she goes again. Whatever your emotions tell you – do your best to ignore them. Even better – settle down and try to think yourself some happy thoughts.

How often this beast is going to swing back and forth I do not know. But what I do know is that we are accumulating signs of distribution while the market is unable (or unwilling) to pick a direction. Personally I am not going to over complicate this situation as limbo tape like this is designed to do just that – it drives you crazy and either makes you change your mind on a daily basis or gives you just enough to support whatever directional bias you may have arrived at.

I’m a simple man so I’m going to dumb it down for us all: At 1642.75 we have a very juicy new NLBL which will need to be breached in order to break us out of the current down trend and hand the steering wheel back to the bulls. At 1590.75 there’s a NLSL which roughly lines up with our weekly RTV Sell trigger I talked about this morning (go look it up if you want to know more about that). In between we are basically stuck in fifty-two shades of pain – it’s a no-man’s land of directional uncertainty that will squash your ambitions of picking a low or a high here.

Since we’re on the subject – here’s another contract that has been giving a lot of folks some grieve lately. Silver has been stuck in a one-month sideways formation which was only briefly interrupted by a fast plunge last Friday. Since then it’s been slowing down and we are now faced with a triple inside period. A rare beast indeed and despite all the churn I’m tempted to grab a breach here, whenever it happens. Not that I expect this thing to be trending anytime soon but with a bit of luck and scotchtape we may get fast f-u candle in the right direction.

It's not too late - learn how to consistently trade without worrying about the news, the clickbait, the daily drama and 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.

Please login or subscribe here to see the remainder of this post.

Cheers,