After forming a double top base around $45, a A-B-C Elliott wave retracement has been in an expanding range. Ultimately the bearish price divergence indicate the swing downtrend is continuing. If that occurs, the next target, and likely forecast resistance area, is between $43 and $42 (0.5-0.61 fibonacci) in 30 days - Gann time
GBPUSD bearish retracement wave C rally expected after a completed corrective wave (B) at 1.6775. Pair turned very strongly to the upside which is very typical for Elliott ABC Pattern after a completed five wave.
I see a move to 0.618 Fibonacci level, ideally market will go until july down to 1.6038 in 82 days.
Companhia de Saneamento is up over the last week, after rallying aggressively off strong support in the $8.25 region. There is minor resistance between $10 and $10.60 (50% Fibonacci retracement), although primary resistance is not until $11.25 to $11.50 which marks the stop of a multi-month range.
Any pulls backs should find support above $8.75 (old downward...
Index Arbitrage Forecast: Starbucks will outperform Nasdaq
Supporting Strategies: Cointegration, Correlation and Technical
Analysis Pattern : Inverted Head and Shoulder
The trade should be opposite to the "gap". Nasx has performed better than SBUX, in order to close the gap Starbucks will now perform better in the next 90 days.
Targets and notes on charts
Major US indices moved higher over the past week after favorable employment and manufacturing data.
Looking at technical indicators, I see the divergence between price and indicator which is a bearish sign.
I will be watching for a number of economic indicators due out over the next days, including unemployment data on April 4th, FOMC minutes on April 9th,...
Technical Analysis of the spread (right chart):
In the last 6 month KO move together very closely and has a maximal correlation with SPY. This means it's profitable when the relative value between the two assets is perturbed from equilibrium, I can take a contrarian position and profit from the spread trading as the prices revert back to their long-run mean.
Dolby had a near-vertical rally in early March (Wave 5) but has moved sideways since March 10 (Wave A). The high of the pattern is $45.16, and the low is $31.19.
Therefore, waiting for a daily close outside the low (wave a) may confirm the forecast to 0.5 Fibonnaci retracement in wave (c). The trend is up, so a stop beyond $45 and the expectation of a breakout is...
Pair Options Forecast: JNPR will outperform CSCO in the next 7 day
ANALYSIS: Cointegration, Correlation and Technical
Strategy: Elliot Wave Principle www.bitcoinprice.mobi
Trading pairs JNPR vs CSCO which has moved from its correlation can be done based on cointegration or technical analyzing the prices of the stock pairs and tries to profit...
Pairs Forecast: BP will outperform XOM in the next 2 trading day
strategy: Cointegration, Correlation and technical analysis
Trading pairs Xom vs BP which has moved from its correlation can be done based on cointegration or analyzing the prices of the stock pairs and tries to profit from the mean-reversion proces.
Cointegration (right chart): The trader should...
After using the Gann Fan and Gann Box, it showed that EURUSD can be on a reversal trend as it hit the 100% line and possibly heading towards the 0.75 and 0.618 line at which there could be a bounce off. Trailing stop to lock in profit as price reaches 0.75 line. Set stop loss a few points above the 100% line. If trend continues its bullishness, it will set a new...
Here are a combination of ideas involving an inverted repeat pattern tied to a fibo time synopsis. The two Gann boxes represent the first down then up cycle with count. The count is not related to any method, just PA symmetry. The up cycle is longer but retains a fibo relation to the down cycle. The PA can be predicted to point 8, which is the end of the second cycle.
I show everything on the chart.
By using Gann Time and Price pattern predict when market breaks out.
We also see Convergence pattern. Signal for breaking out in the near future.
Next week, very very careful in E/U pair.
- GDP of EU on Wednesday
-Especially, ECB Interest Rate Decision and ECB monetary policy statement. This might trigger for a new trend.
Looking to enter in a Long Put option trade tomorrow with Zynga, ZNGA. Looking at the chart we see CCI (50) divergence that's been trending for several weeks. @nmike also pointed out the obvious Fisher Spike after we saw double divergence with Fisher and CCI divergence. This is a great combination of indications to suggest a bearish move is in the works. On the...
Support above the cloud with confirmation in the fan, and at the historic $88 level. There could be significant resistance at $104, being the peak price of the current lunar cycle. The previous three peaks occurred on or just before full moon.
Going above $104 now (after full moon) would break the lunar correlation which has been consistent for 3 months. The...