The Force Is Strong In This One

My apologies in advance to George Lucas but after all I had to properly follow Scott’s post. I actually met the man once a few years ago (George, not Scott). Just for a minute but it was memorable – one of the few perks of living in the entertainment capital of the world. That and an endless supply of sunshine and hot young babes – if you are into that kind of thing that is. I know most of you are happily married 😉

Silver – yes again. I posted this chart in the comment section last afternoon. RBW bugged me about a long silver entry and I basically told him (and everyone else paying attention) that a quick swing trade was permissible as long as we didn’t breach that daily NLSL and the lower 100-hour BB line.

Sometimes the game is just too easy – isn’t it? I’ll spare you the William Shatner poster today but for the record – he was absolutely hilarious yesterday night on the Colbert show. One of the best interviews I’ve seen in a long time and watching him crush Colbert via an arm wrestle was one of the many highlights – Colbert had it coming for a while now. Met that man as well once (William, not Steven) at his favorite sushi place in the Valley (no, I won’t tell you where). That was about 15 years ago and the bastard hasn’t aged a day since – must be that rigorous diet of blue pills and young hapless starlets he’s been on for the past 40 years. And by the way – you want to be out of silver today – take profits right here and now as there’s a bit of resistance looming above.

Before I treat the subs to more charting goodness I just wanted to rub the daily Zero into everyone else’s face. And which has been ticking like a Swiss watch in the past few months, correctly pointing the way upward since mid December. It’s not too late – you can still subscribe for a measly $49 a month – assuming of course your account hasn’t been Bernankehandled yet.

Alright – we’ve got a nice bag of goodies for the subs – please step into my lair:

Before we get to the setups a quick peek at the spoos, which bounced at the 1361 NLSL and now establishes short term support. The fact that we didn’t even manage to breach that NLSL and get to the 25-day SMA strongly supports the strength of the ongoing trend.

As you can see our long term chart now puts us above new support on the weekly panel – and even the 100-week SMA is now starting to steepen again. The monthly shows us clear sailing until about 1440.24, which is near our P&F bullish price objective and where I’d expect a bit of a shake out. Let’s see if we get there and then sort out what may come next.

Sugar fell into support today but bounced back. That setup has come and gone but if you managed to catch it near 24.5 then I would hold it for now. However, we do have three red candles in a row and it’s possible we’ll get another test of support, which is why I’m putting it on the map.

And yes, it’s baaa-aaack! 30-year treasury futures have been the swing trade that has kept on giving for weeks now. Like the mindless trading bot that I am the setup here is to be long once more, until one day, finally, we will get stopped out and be able to flip that trade around.

The 10-year chart shows us almost the very same setup but it’s a bit sweeter as we are sitting right at the 100-day SMA and the lower 25-day BB line. This may actually be the canary in the coal mine of what’ll happen over on the ZB futures.

Finally I have two more inside day setups for you – first one is on cocoa which looks a bit bearish at the current time. And that’s of course why a long setup would be probably more explosive but we’ll take either way this one decides to swing.

Copper is behind door #2 – the bulls have the home team advantage here and profit potential to the downside seems limited. So with a bit of luck we’ll get a long entry here as well. But let’s not be biased – if it turns the other way that’s the entry I’m going to take.

Cheers,