Wednesday, March 30, 2011

Caribou Hunting

Doctor Copper looked ominious, nearing a triangle apex, lost the triangle to the downside, and then backtested the downsloping channel....OK here is the analogy....you are hungry wolf, travelled 50 miles in search of a Caribou herd, chased something that looked like a Caribou, but was really a ranchers livestock and got shot at.   Now it is late in the day, and you see an injured looked little Caribou....but you are afraid you might get shot at again....then you see the backtest.   OK got it?

NKD on a massive pop upward and a pattern I call H2D2 aka bearish wedge, also ES with a 3 drives move, just popping a Fib Fan (if you ignore the afterhours time -- select after hours to be off, since that doesn't truly reflect the overall mood of traders).

All short.   The moon approaches, important lines are hit, joe public is convinced the bull market runs no matter how much bad news is out there, and then some complancency / consolidating boredom days.   Also some secret timing indicators, so secret I don't even know them :) j/k

That is where we ended the day.   Decided to make a run at the Caribou.

7 comments:

  1. Hello,
    Are you still short the EURO?

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  2. And, the dollar is at a make or break point (nifty real time currency charts here http://www.forexpros.com/quotes/us-dollar-index-advanced-chart ), gold is in an ascending triangle, silver is going parabolic (that's gotta make 'em nervous), and didn't Gross dump his treasuries? Hmm... Wonder what all that means, hmm...

    Next Monday should be interesting.

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  3. Closed that out long time again, before the ramp

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  4. Everyday is interesting. Japan will print, USA will print, Euro world or the MadMax version of it will print.

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  5. Thanks for the currency link. I've wasted too much time in the past trying to find something like that.

    10 year charts show real divergence in USD from the momentum low in 2003/2004. It looks ready to break out into bull mode. Fed has been hinting they are ready to raise rates. To me that means market rates are about to rise. They have models too that must show that. I call it the WOOM effect, as in Wizard of Oz Machine. It matters to them to create the illusion that they caused it.

    I guess Gross might know this is coming, theoretically it would cause bond prices to drop. Every second or third ad on cable tv or radio is about gold. I am sick of hearing it myself. Ihave to think JSP gets clobbered and loses his gold "savings". A masive run in USD could help cause this.

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  6. Hi Steve,

    whats your targets for ES and Copper to cover your shorts?

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  7. Copper around 4.00, probably that Magenta line, depends on how much time it takes to get there.
    NKD already took profits late last night.

    ES around 1310....take some profits, 1290 close out assuming bounce on the PRS 100 Magenta line.

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Insightful and Useful Comment!