Fractalmania!
Fractalmania!
I know you guys are in a foul mood – can’t really blame you. The market is ramping without a sliver of participation, the World Cup is over, there is nothing on TV, and with the exception of the California coast line it’s hot and humid as hell everywhere. I myself am heading to Houston, TX this Thursday and I’m really not looking forward to the heat there. Mole gets very grumpy when the weather turns sultry, and those Texans better beware. On the upside – I may just rope myself one or two of those Texan beauties – last time I spent time there it seemed like someone left the gate open.
Brooke Daniels – Miss Texas 2009
Yummie! I’d mess with that part of Texas anytime! 😉 FWIW – I’m also planning to grab myself the Godzilla of all steaks over there – if you are in Rome – do like the Romans do after all. I’ll be near Spring, TX – if any of you guys have a suggestion for a fun time let me know. It’s not Austin but I can paint the town red anywhere.
Just in case the intro gave the wrong impression – the title of this post is fractalmania – not frecklemania – so, let’s take a look at a pretty neato chart:
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Charts and commentary below for anyone donning a secret decoder ring. The rest of you guys will have to wait until tomorrow – sorry. If you are interested in becoming a Gold member then don’t waste time and sign up here. And if you are a Zero subscriber it includes access to all Gold posts, so you actually get double the bang for your buck.
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Could it be? We may have ourselves the beginning of my Gothic Church Tower fractal here. It seems to unfold a bit quick, but thus far it is following the script pretty closely. So, I expect to see maybe another spike or two on the NYSE A/D (just like before) followed by a drop below this year’s lows. BTW, this chart seems to be supported by what I’m seeing on the daily Zero right now.
Another reason why I think that Soylent Blue is going to take the bears for an exhaustive spin around the block. Take a gander at the AUD/JPY which despite a clean slice through the 80% mark on my stochastic has barely budged. Not good for the bears – I can literally hear the torturous sceams of short squeezed FX bears. How’s that for poetic.
So, I’m sticking with my story and wave count, which indicate that it’ll get worse before it gets better. The path of least resistance right now seems to be to the upside and there is zero bearish momentum right now – nada, zilch, nichts, niente. Yes we are overbought as hell short term – but tell this to the tape. Which is always right – whether we like it or not.
Face it – we are in the summer doldrums – we did not make it to Dodge and we’ll have to sit and wait until Doc Holiday and Wyatt Earp arrive at the O.K. Corral late this summer (I know that’s Arizona – but work with me here). Until then the Clantons and the McLaurys are running the town and you better keep a low profile and sit tight.
Soylent Blue may see a temporary drop but unless we breach through 1045 I have grave doubts that it’ll pick up steam and turn into Clockwork Orange. The timer is set for early August – until then try to not get emotional. Keep it frosty – as difficult this may seem in this summer heat.
Cheers,
Mole
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