Now Reading
Out Of Noise Emerges Opportunity
56

Out Of Noise Emerges Opportunity

Out Of Noise Emerges Opportunity

by The MoleFebruary 27, 2014

I think we can all agree that this has been a rough week across board. Forex has been leading the crazy train and I’m sensing quite a bit of whipsaw frustration in myself as well as fellow traders and readers. Of course that is exactly when you have to be ready to jump on entry opportunities. For out of noise often emerges opportunity.

Since the recent lows the bulls have been pumping the tape higher and we managed to rack up ten consecutive higher highs on the E-Mini S&P 500. After an obligatory shake out day we proceeded higher but hit a low volume wall near 1860.  This week we’ve seen sideways gyrations on top of the 100-hour SMA which eventually resulted in a fast drop toward the lower 100-hour lower Bollinger (which I pointed out previously).

Overnight we have bounced back higher and the onus is now on the bulls to push prices back above both short term SMAs. I am seeing a delicious inflection point near 1844 – specifically I would want to be long above it but load up on a few shorts if we approach 1842 – my stop (and reversal point) would be 1844. On the long side I would recommend a stop below 1842 minimum – even if we continue higher we’ll most likely get a last kiss goodbye.

Be careful around 10:00am EST – chairwoman (so they claim) Yellen is scheduled to deliver another speech. Although I don’t expect her to rock the boat that Bernanke kept from hitting the cliffs during his term we should always expect some wanton gyrations. Yes – you are not paranoid – they are out to get you 😉

More below the fold for my intrepid subs:

evil_separator

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,

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