Stocks have broken out, climbing significantly and reestablishing the 4K's. We have broken through 4009, and just broke out past the next level at 4068. We have already crossed one vacuum zone, and appear to be breaking out into another. If momentum continues today, then 4122 is the next target. The Kovach OBV has picked up sharply, suggesting there might be...
Bonds have picked up slightly edging above 115'29. ZN had teetered about this level, breaking below it yesterday, but finding support. We did make a run for the next level at 116'20, but rejected this level, and found support again at 115'20. There is a stronger chance of a 75bps rate hike, which is pushing up yields. If we fall further, then 115'03 is the next target.
Gold keeps testing 1735, the next level above 1729, our 0.236 Fibonacci level. We are edging above this level at the time of this writing. It does look like we are forming a bull consolidation pattern around 1735, potentially gearing up for a breakout. If so, the 0.382 Fibonacci level at 1758 is a reasonable target. If we retrace, we should hit support at the...
The DXY has fallen sharply rejecting highs and slicing through the 109's. As predicted we are seeing support at 108.50. We were bound to see a technical retracement after such a strong rally. We will see if 108.50 holds. If so, then we are likely to range in a sideways correction for now. If not, we could press further to find support at 107.20. If we are...
Oil bottomed out at 81.30, as expected. Oil prices are generally trending downward off recession fears and china coronavirus lock downs . We are seeing a small pivot off lower levels and an attempt to regain 85.55, which should provide strong resistance as it was a low tested several times earlier last week. We are starting to see strong resistance as we...
Litecoin has pivoted off of the low $50's, blasted through $55.84, and crossed the vacuum zone to reclaim the $60's. We are currently testing $61.75, which provided prohibitive resistance. We are currently contending with this level, and starting to run into resistance. The next level is $64.37 if we are able to break through. If not, we could fall all the way...
Ethereum blasted through $1653, the first of a series of resistance levels extending into the $1700's. We are starting to see resistance here, as we are running into this cluster of levels. We should see continued resistance, but if we are able to continue to break through, then $1821 is the next target. If we retrace, then $1547 should provide support after $1643.
Bitcoin shot up after the stock market rallied yesterday, and the US dollar fell on a retracement. We were able to jump past $19.5K, which was a significant barrier earlier. After this, we made a run for $20.7K, where we are beginning to run into resistance. If we are able to continue the rally, we should enter the vacuum zone between this level and $22.4K. If...
Stocks snapped a losing streak yesterday as they gained strength off of Powells comments. The Fed is still expected to hike rates in September, with a 75 bps hike increasingly more likely. However, if and when inflation eases, we should see a more dovish stance. The S&P 500 broke through our target and upper bound at 4009, but is wavering in the vacuum zone...
Litecoin saw a strong pivot from lows. We anticipated the low $50's to provide support. We broke through $55.84, which has given LTC trouble in the past. We are currently stalling just above this level, but if more momentum comes through we could easily cross the vacuum zone and test $61.75 again. We should see strong resistance there, however. If things turn...
Ethereum pivoted from $1547, after breaching this level briefly. Swift momentum took us back to $1653. Recall that this is the beginning of a series of levels extending through the $1700's, which will provide resistance. It will take significant momentum to break through. Though the Kovach OBV has picked up sharply, we will need more follow through if we hope...
Bitcoin has pivoted from lows, but can't seem to break through to the $20K's. It is currently struggling with $19.5K, the next technical level below $20K. The rally seems weak and sufficient momentum will be needed to take us back to $20K. Support at $18.6K should hold, but if it does not, then $17.6K is the next level below that.
After establishing new lows, stocks pivoted back to 3978, just one level below 4009, our target from yesterday. We are seeing red triangles on the KRI, indicating some resistance but if we can break through, 4009 is the next level to break before we can consider higher levels. If we reject this level, we could easily retrace the entire move, and head back to...
Litecoin made a valiant attempt to solidify the $60's, but a strong selloff sent us straight back to the mid $50's. We broke through support at $55.84, and are in the middle of the vacuum zone between this level at $51.92. The low $50's should continue to hold in the event of another selloff. At this point, $55.84 will provide resistance if we are able to...
As predicted, Ethereum collapsed from $1653. This happened for two reasons that discussed yesterday: We noted that this was highly likely as it was a primarily retail driven rally from hype off 'the merge'. Also, $1653 is the first of a cluster of resistance levels extending into the $1700's. It will require sufficient momentum to break through these. The...
We have been calling for Bitcoin to return to $18.6K since its meager rally through the $20K's. Finally, Bitcoin caved and hit our target. We had been wavering around $20K since late August and finally support gave. Indeed $20.7K proved to be a hard upper bound, and our newly drawn level at $19.5K could do little to provide support. However, as discussed here,...
Stocks broke through relative lows at 3909 as anticipated. We gave up the 3900 handle entirely, and broke down into the 3800's, but found immediate support at 3887. We are testing 3909 from below at the time of this writing but the S&P 500 looks pretty weak. The Kovach OBV is on a steady downward decline, and we keep breaking levels from below. We should have...
Gold tanked again, but as predicted, found support at 1705, the last level of the 1700 handle. We knew the small rally we saw the last time we tested 1705 would be short lived as it barely moved the dial on the Kovach OBV. Also, we ran into resistance from the 0.236 Fibonacci level, and just did not have enough momentum to break through. These two factors both...