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POMO-licious!
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POMO-licious!

by The MoleOctober 29, 2009

So, we got a nice bounce to the 38.2% fib line – it’s possible that we push to the 50% but I’m seeing some divergences on the Lite. However, it is a POMO day and maybe they manage to bang the tape higher before the bell. BTW, the auction today yielded only a lousy $1.93 Billion – that’s chump change compared with the average amount they used to accept (i.e. $6 Billion – $7 Billion):

So, I’m getting very tempted here to plunk some cash into long term puts – this is why:

My count right now has us in a lower degree fourth wave. If this is X instead (i.e. Soylent Blue), then we know fairly quickly and while Mr. VIX is relatively low still. Technically I however see us retest the current highs in Minute {ii} of Minor 1 of Intermediate (1) of {3}. Boy – a lot of first waves in there, do we have a looong way to go – LOL 🙂 But if you are conservative this might be your preferred opportunity to get exposed to the dark side.

So, it’s a matter of choice – if we bust higher here before the bell then I’d be happy to start backing up the truck. And if I’m wrong we should know in a fairly short order – meaning we run higher and breach into into Minuette (1) at 1074.31. BTW, the ole’ buck is hanging on to 75.87 thus far and it looks like it might be holding we might see 75.8 or lower. No guarantees guys – I can’t really tell you where/when we turn (if we do) – perhaps it’s best to place your bets around the bell.

3:33pm EDT: The NYSE A/D ratio peaked at 4.7 and is currently at 4.35 – a bit too strong for my taste – but let’s see where we close. The last time we got a snap back after a drop along with a strong reading was on 9/28. We then popped a little higher the next day along with a much lower (and divergent) reading, and then made new lows. So we might see a little follow up tomorrow morning and then a drop – OR – we are in blue and bust higher.


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.
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