I'm going to continue to be very busy the next week or so, so I'm just posting a quick update here and will be back when significant market action occurs.
The S&P is nearing the end of Minor wave 2. This simply means that a big, sharp and fast Minor wave 3 down is coming soon. There are no real signs of a top yet, but when a reversal pattern forms, the risk/reward would favor the bears to jump in aggressively short. I'm simply looking to short on rallies at this point. The S&P should not exceed 1422.38 if the above wave count is to remain valid. So my stop is just above that level.
Learn Elliott Wave Principle (EWP)
The euro did the opposite of what I projected in last post. I projected a resumption of the downtrend but instead it rallied hard to a new high. I'm unsure if a top is in now, but the larger trend is down so I'm indeed looking for a top so I can reshort. This week's high was not exceeded on today's rally and the 4 hour chart shows a reversal candlestick. I feel it's worth the risk/reward here for the bears to short against the high at 1.2747. The risk is fairly tight, and if a top is in, the euro will far hard and fast to a new low.
PLEASE NOTE: THIS IS JUST AN ANALYSIS BLOG AND IN NO WAY GUARANTEES OR IMPLIES ANY PROFIT OR GAIN. THE DATA HERE IS MERELY AN EXPRESSED OPINION. TRADE AT YOUR OWN RISK.
3 comments:
VERY NICE CALL! thank you.
It's been a long time coming but I think it's finally here. Just a bit more up then a good size bear move will be here. http://www.tafool.com/Charts/sp500062912.png
MoneyWorks4me offers the Best Fundamental Stock Analysis & Free Portfolio Management Tools.We help you in Safe Stock Investing through Value Investing principles.
Post a Comment