It's the only way to be really successful and understand what's happening in the trading world.
The money we are hunting for is coming out of one instrument and moving into another one. After some time it's flowing back again. It's important to see these movements then you can have a better chance of predicting what's going to happen in that instrument you are investing your capital.
So today oil seems to be starting the pullback. (This pullback is not for shorting because might turn, might be just a small one etc...) If you look at the SPX you can see it's also below the 10EMA. Stocks after this never ending daily rally might have a chance to print a small DCL. This could be oil and oil shares chance to have a pullback and give the last opportunity for the late entries/ position adders.
I would like to see oil testing back the 50 (44.60 now) (most probably the 10 will be there as well as they are crossing)
At the SPX it would be nice to come down to the 50 (2140 now) also but most probably we just break down the 20 and that's it for the DCL. The buying power is too strong to have any seriuos decline here. And stock are getting oil support also so who knows how far it will rally in the next weeks. I will try to get rid of my SCP and Nasdaq shorts as soon as possible.
I left my posts' signs on the chart.
Green: long posts
Yellow : Neutral/Caution posts
Red : Short posts.
I will post a DXY-Gold market summary as well. If the above post is correct the money will be flowing to gold in the next 3 days especially if the dollar is dropping more today and tomorrow.