Seeing some weakness here on the China 50, as the buyers bid to make a new higher low has yet to succeed. If we break this 13800 zone, it will be a break of a flip/support zone. Indicating there is no strength with this break out. Be patient and await for the candle close. Here is how it looks like on the 2 hour chart: The head and shoulders is very clear....
Like what I see on EURCHF. Just in terms of market movements, we had a downtrend with multiple lower highs and lower lows, and then this trend began to exhaust once lower lows stopped being made. We went into a range which shows this exhaustion. We then broke above previous lower highs nullifying the downtrend. We had our first higher low at 1.0890 and we may...
Bitcoin rejected the resistance level on the idea I posted last week. You can see we had a large red engulfing rejection candle after making higher lows and higher highs. Once we broke below higher low, we have our initial swing in the new downtrend. Markets only move in 3 ways: uptrends, range and downtrends. These are composed of multiple waves. We have yet to...
First of all, I must preface as I did with my Silver idea...this is a trade. Long term I am very BULLISH on precious metals given the confidence crisis we are heading to, and the fact world central banks will be cutting to 0 and providing stimulus. Human history is cycles of hard money and soft money and it seems we are reaching the zenith of the keynesian/soft...
Haven't really posted on the EURUSD for sometime, but I see a short set up on the 2 hour chart. We are at an important support turned resistance zone. You can see on the higher timeframe such as the daily, that we are now retesting this area for a potential lower high swing. The two hour is showing us some signs that the sellers are stepping in here. First of...
The AUDCAD has been in a prolonged downtrend, and has created a double bottom pattern. Awaiting for a daily break above the resistance zone of 0.9045. Ideally, would like to see this break confirm a higher low swing which would entail prices dropping initially rejecting the resistance zone before breaking above. Although, you can already say this has already...
Awhile back I spoke about the big potential Silver move and so far it has been performing. Just to clarify, for the long term, Silver and precious metals is where you want to be due to the CONFIDENCE CRISIS coming in governments, banks and the fiat money system. Central banks will be killing their currencies in order to inflate. Inflate or die. After breaking...
I have spoken about the macro environment we are in and how a CONFIDENCE CRISIS is coming. Central banks are out of ammo and it is now about maintaining confidence in what they are doing. They will be cutting rates (a race to the bottom, killing fiat) and will go back to stimulus. They will NOT call it QE...but once people realize we are in a QE environment...
AUDNZD looks good but don't really like to take positions on Friday to hold for the weekend. What I am hoping to see next week is a possible bounce to create a right shoulder before breaking below the neckline. A nice uptrend that was displayed and we reached a big resistance/supply zone. You can see that the trend is beginning to exhaust and we are awaiting the...
Awaiting for the close to confirm this breakout. Of course this would be a trade. I am still of the opinion that a recession is coming (or we are already in one) and oil will struggle. Really only geopolitics can change that. However, on Brent crude, we had a downtrend and failed to make more lower lows. Indicating that the buyers were stepping in and the trend...
Really, you can see this trend transition pattern even on the 4 hour and the daily chart but 8 hour looks the best. Head and Shoulders is visible and occurred at a long term support level. We have had a long downtrend too and we did stop making lower lows. We made our first higher low indicated by the right shoulder. We had a nice strong break on the neckline...
Our Dax and ESP 35 trades are continuing as mentioned in previous posts. It seems cheap money and easing will keep stocks propped as there will be nowhere to go for yield. Of course, a geopolitical issue or black swan event can nullify this...and I believe there will be a confidence crisis approaching. However, we will deal with that when it appears and the bond...
Like what I see here on ZARJPY. On the daily chart, we can see we hit a major support zone. On the 4 hour, we have been in a downtrend with lower highs and lower lows. However, the downtrend seems to be exhausting. We are seeing a double bottom here and even possibly a head and shoulders if we reject the neckline depicted and make a higher low. I would await...
Just want to update on the USDHKD peg idea I spoke about awhile back. A bit controversial I know, but I gave reasons on why this is likely to happen. Hong Kong does not have the US Dollars to maintain the peg. The PLA marching into Honk Kong may be what breaks the peg. Looking at the chart, you can see where the buyers are stepping in. We are seeing buyers at...
Talk of Brexit and the GBPUSD near uncharted territory. To be fair, we are already in uncharted territory. A lot of this has to do with Brexit of course but there are other reasons. If we are in a recession or heading to one soon, the BoE is at 0.50% and only has 50 basis point to go to 0. They will have to go negative. Perhaps many are realizing this. Another...
AUDCHF was in a downtrend with lower highs and lower lows and we have reached a major support zone on the daily chart. We are now seeing a possible exhaustion of the downtrend since we are not making lower lows and lower highs. Wicks and engulfing candles also indicating where the buyers are stepping in. I would like to see a break and close above 0.6675 zone....
Check out my opinions on my last post on the Spanish IBEX. The same macro and fundamental analysis applies. The German Dax is also showing us an interesting head and shoulders pattern and a potential break out here.
Already outlined on how central banks will HAVE to keep stocks propped up. This is due to pensions and also the fact that central banks have forced money into stocks as yields were suppressed. A decade ago, you could retire with 1,000,000 and buy government bonds yielding 6-8% making 60,000-80,000 a year...enough to live off of in retirement. Now a days, you would...