Perfect Storm
Perfect Storm
10:18am EDT: I actually had a pretty fun morning thus far – let me show you:
Of course since I drew this chart we’ve busted into 965 – wow – but a major hit to my puts has been averted. If we don’t turn here we might see 975 on the SPX in a short order. Wow, this looks as if we’re getting a 10th up day on the NDX – in the words of George Patton:
NUTS!
10:23pm EDT: Ding Ding Ding Diinnnnnngggg!!! The Dow Jones just touched 9000 for the first time since January 6th. I hate to be right on this one but here we are – 30 more points and we are touching the PPTPL.
BTW, I just added a few more ATM SPY puts.
10:30pm EDT: It seems that my expectation of last night was fulfilled:
Now, as you can see we are starting to run into some resistance here. I forgot to mark the top of Intermediate (4) of Primary {1}, which is also around 9050. Then there’s the old PPTPL which should now act as resistance until it is overcome. Then there is a diagonal which is marked on the chart. And finally, this is the 10th up day on the NDX/COMPQ and I need to ask 2sweeties what the record is on that.
Can we bust a bit higher here? Most likely – greed is a powerful motivator. But the sky is not the limit and I’m pretty sure that the last bears were taken out by this power spike. Who besides Mole is left? 😉
10:46am EDT: Okay, the picture is getting clearer:
I have taken multiples of Minute {1} of A and slapped on a blue comparison fib and then I have taken multiples of Minute {3} of A in orange and projected both fibs from the start of what I think is {5} of A. Based on what I’m seeing we should find ourselves around SPX 975 to 980ish. Which should also roughly line up with the resistance zone I highlighted in the Dow further above.