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Rock’n Roll Baby!

Rock’n Roll Baby!

Rock’n Roll Baby!

by The MoleMay 5, 2011

Crude is below the 100 mark, silver at 35 again, the spoos are tanking, EUR/USD on the slide – rock & roll baby!!

And who warned you guys about the net-lines sell signal (á la Chris Carolan) on the spoos? Oh, you didn’t see that – right.. Well, you could have for a lousy $29 a month – it’s not too late.

Anyway, time to take another look at that S&P E-Mini futures chart and some other goodies:
[amprotect=nonmember] Charts and commentary below for anyone donning a secret decoder ring. 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.
[/amprotect] [amprotect=1,9,5,2]

Well, at first it looked like we may actually snap back today, but at this point I wouldn’t be so sure. So, if you went short yesterday I would take partial profits here and keep a few lottery tickets to close out at 1300. No guarantees but worth the risk with a stop at 1337. Again, those are high risk trades. If the ‘everyone-gets-screwed’ scenario I was hoping for plays out then this is nothing but a red herring and we are about to ramp up in a not so subtle fashion. So, keep that stop firm at 1337 – no if and no buts.

The other reason to exert caution and to prepare for a possible snap back is the VIX chart above. Yes, that’s right – as usual the bears ejaculated prematurely and for us rats that means we may have to pull another coitus interruptus to protect our ill gotten gains. We are one step into a bonafide VIX buy signal – of course we are also still two steps away from final confirmation.

UPDATE: Mr. VIX wound up closing below the BB line today – by 4 cents. I had to zoom way in to see it properly. So, based on that we do NOT have a first step into a VIX buy signal. Does not mean that we won’t get one tomorrow of course.

Very same situation on the EUR/USD – sliced through its sell level and proceeded directly to target. Nasty! Don’t chase this move – even if there is follow through I expect a bounce here fairly soon.

The odds are mixed at this point, so let’s not get caught up in making any emotional moves – especially you, Amokta! 😉




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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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