Here's an updated chart of VXXB. As you know , this typically is a contrarian indicator to the market. As the market has been rising since late December, this VXXB has been going down. Now we may be at a point where the VXXB is bottoming. We would like to see a hammer or a doji candlestick today to help mark the turn. Let's see if we get this today or not....
Did the fighter Jets do their job? We have been looking for a high point for this rally since Dec lows to turn down. Was this area of throw over the high? I am bearish the market with lots of puts on SPY. I am obviously bearish ! Completion of Harmonic patterns last week on Friday. Now let's see if this SPY chart shows a turn soon or not.
For the past 2 weeks we've been looking for the throw over and break of the parabolic curve. Was today the day? We got a nice throw over and the Snap! of the pink parabolic curve! Today may have been the 1st clue that this stock has rallied to fast and needs a bit of a retracement. I would really like the price to break the blue channel support line as shown and...
Here is the chart 2 of why the median line is so important. It has been active for about the past 100 years! Also please note the interesting statistics of the Social Entitlement Programs that will become to much to bear for the US economy. When Social security first started, the contribution rate was only 1%! + the employer 1% = a measly 2% into the Ponzi...
1st chart of 2. Please look at the next chart to reveal where this midline comes from
The rally from Dec lows looks to be about finished now. The large purple CYPHER pattern and the blue DEEP CRAB pattern have been completed this morning. at the 271 zone. If the market has one more bump up in it (Monday?) I will expect the fighter jets (red) to shoot down this market. The easy flying "Blue bird" jet (upward rally) is not paying attention to what is...
Cron looks to have completed its 5th of 5 of wave 3.1 up. Now in the sell zone. It now looks due for a pullback. It actually hit the high side of the black channel, as well as rsi on the hourly chart is no lagging the upward price moves. I bought puts yesterday, but it looks a bit early. :( I am looking for a nice retracement with either the Gartley or the Bat...
This is a possible Shark pattern (pink). The ratios line up well as indicated. These Bullish Shark Patterns create a "false" break down by dropping about 12.8% below the previous low as shown (the jaw). Most traders take positions after seeing that snap, but the Shark will take a nasty "bite" out of them! It would bite the lows and then the price should reverse...
Getting near the upper limits of this move up in wave 3.1 of what should be a nice extended 3rd wave someday. But for now we may be seeing the highs for the first subwave called wave 3.1. IF this is the high, then we can begin to look for harmonic retracement patterns such as Gartley and Bat. This would give us a great 3rd chance (for those that don't have this...
Today we see the Peek-A-Boo of Spy looking over the resistance line as shown. This is a perfect spot for the market to turn soon. In the measurement of the "Freaky 4th wave we look for a retracement of the 3rd wave of 66.6% -81.25%. We are getting close to the upper limit of the 81.25% (271-272 zone) If this reverses in the area circled in yellow, it could be a...
Well that didn't take long! Yesterday I put up a chart looking for the trend in VXXB to continue up in the green channel. The "line in the sand" known as the reaction line (drawn in red) was broke this morning. Meaning that the markets still have some bullish potential. We should see a retracement back up to the green Buy Line. However that is a selling area for...
This morning PYPL dropped to the target zone we talked about last week perfectly! The previous chart has been left with our expectations from last week. This way we can see the time is the elusive factor. This price action happened faster than we thought as shown by the waves 3 and 4 (black lines). Harmonics helps with price targets, but not time. The (50) March...
A few days ago, a chart showing the expected drop in VXX into the buy zone hit target buy zone perfectly! (Remember the VXX has been changed to VXXB) I'm long on VXXB. The story for the Bear market continues. Although most traders are hugely bullish, the VXXB disagrees and is still in the OFP channel (dark green) with an upward slope. Remember the VXXB usually...
Still on track. The purple line shows an approximate trail for CRON. Today is a nice strong up day. This could just be the first of many strong waves in an extended 3rd wave pattern... time will tell. I have been bullish on this stock since last year. After the initial pop, we sold for a double. Then we didn't chase it, we "retraced it" to give us another 2nd...
Update from last week. Deep crab pattern is still in play. Looking for the 161.8% extension of D point. That puts the SPY in the "decision Maker" zone (shown in green). If the Spy breaks lower as shown by the pink trail, that would set up a better long term bearish play. We need to carefully watch this zone, as it could also be traded as a bigger diagonal pattern...
For weeks we have been talking about the "Freaky 4th wave". If you're new to this chat group, let me refresh your memory of this weird count. Some traders will call this recent action a corrective B wave, and it can certainly be counted that way. Others (like me) were looking for an upwards 4th wave correction in the larger pattern sell off from Sept 21 2018...
Uh OH! The butterfly pattern was broke this morning. (note the red X ) Is the long term bullish VXX trade dead? Nah!, I still think that we will see the bullish move up in VXX. The harmonic patterns simply "evolve". The next high probability turn expected is the completion of the Bat Pattern at the Pesky Gap! shown and the green Buy Zone along the (pink) dashed...
If this count is correct, we could begin shorting in the sell zone. If you can watch the 15 min moves, look for the butterfly to complete (purple). Another possibility id the Deep crab pattern (blue) this is a higher target and if we watch for 5 small waves up, it would also be a great low risk set up. The target is way down at the pesky gap close (purple arrow)...