I normally construct charts in log scale. In general, I regard it as a more legitimate way of viewing time and price relationships. But, I try to remember to check in on the arithmetic picture from time to time. Here are a few arithmetic charts to consider… … continue reading →
Monthly Archives: May 2012
That should be it. Remember yesterday [see: Dueling Bancos] we talked about the little channel being established while the market searched for a Point C. The lower bound of the channel was 1304… I think the exact price is going to be hard to pinpoint, and will likely depend on the nature and timing of … continue reading →
Our charts have grown fairly “busy” lately, what with harmonic patterns, chart patterns, fan lines, channels, etc. I find it helpful every now and then to take a step back and examine those elements that have had the biggest impact in recent years — and are likely to continue doing so. In my opinion, the … continue reading →
We pick up this morning where we left off last night…the Banco de España and the Banco Central Europeo duking it out through their respective mouthpieces in the mainstream media. It reminds me of another famous dueling scene from one of America’s greatest movies (obligatory clip below.) From the WSJ, reports that the EU is advocating a … continue reading →
Today was one of those kumbayah days when even lousy housing data, consumer confidence and Dallas Fed data couldn’t depress equity prices. The market spent all day reinforcing my faith in our forecast. Ah, those were the hours… As everyone knows, the euro zone whack-a-mole game has been focused on Spain lately. So, the print-our-way-to-happiness … continue reading →
Looking at the markets these past few days, I’m reminded of the prize that comes in a box of Cracker Jacks. Not a real prize, mind you — but one of those cheap little pictures where the image changes as you shift the angle from which you’re viewing it. It’s called a lenticular image. Despite … continue reading →
Fridays before a holiday weekend have a tradition of being very, very quiet. Today seems to be no exception. Unless something weird happens, we’re aiming for a close around 1323, up a few points.
I’ve taken advantage of a relatively quiet morning in the markets to finish mapping the road ahead. There are quite a few harmonic patterns in play right now. My practice is to map all the apparent possibilities and look for confirmation (or lack thereof) between patterns — and then look for ways in which they … continue reading →
I wasn’t sure what to write about today until I got a great question from a reader, who hopefully won’t mind my reposting it here: Pebble, I enjoy your analysis, but are you really saying you bought at the low on Friday and you sold at the exact high yesterday? “After scalping a quick 36 … continue reading →
ORIGINAL POST: 10:00 These are the toughest times in investing — calling a top or bottom, then watching an opening that threatens to undo it. I mentioned in yesterday’s first post I was expecting a choppy next few days. Talk about understatements… After scalping a quick 36 points (going long Friday at 1292, selling at … continue reading →