September 9th – Still Running Like Cheetahs
.
SPX – The markets are a little choppy as we head into the Fed mtg next week. I’ll give you 2 possible ideas of what we might see, but individually, the stocks can just remain bullish.
1. Here I’m showing chop around these highs until the Fed on day 32, then a drop into a dcl. into maybe day 40 or so. That is the old “Buy the rumor, sell the News’ trick. ..or…
.
SPX – The markets could even rally into the Fed meeting and beyond with a 50ish day daily cycle, and then roll over into a dcl. Honestly, both ideas are bullish.
.
THE USD is choppy and sloppy, allowing Gold to make a strong run higher. This looks like it will break down over time.
.
The Precious Metals and Miners: Yes, THEY are running like cheetahs! I kind of hope that they cool down and consolidate here and there, so the rally can continue higher. Even Cheetahs do several quick sprints so that they don’t burn out too fast. Often if rallies go straight up, they become unsustainable and crash back down, but right now Miners are running and they can continue to go higher if they pause here and there. Lets take a look at this very bullish sector.
.
The GOLD rally continues after breaking out from that large triangle. This started to breakout after the Jackson hole speech discussed rate cut possibilities. It’s not worth guessing when this could pullback, but I wish that it would dip soon rather than do a blow off top. To be honest…
.
To be honest, I have to view this as an ICL. In the past, I have always placed an ICL in the end of a triangle consolidation, because this amount of consolidation acts the same as a sharp sell off. It wears off sentiment and renews the energy for the next rally. That is why…
.
That is why I looked at past rallies out of the triangles int he weekend reports. Recently I pointed out…
No back-tests and take note of the RSI when the rally ‘peaked’. The RSI & Stochastics have cooled off and now have room to go higher before a peak. With a Bull market that has this triangle, it would seem that we have an ICL. Holding positions is prudent, even if you sell some on the way higher, but I see 1 tiny problem…. The small problem on this is that some Miners are starting to look parabolic. I’ll discuss that too.
.
I also mentioned the Bollinger bands as bullish:
GOLD had a B.B. pinch that is now opening up on a weekly basis. It is a reset of sorts and now it looks that Gold will go beyond $4000+ (over time).
.
SILVER has been very strong at the 4th daily cycle. Should we count that green triangle as an ICL? That is not normal at all, but Silver is running and if Silver decides to just take off (we do have a rate cut likley), then you want to own some Silver or Silver stocks ( SILJ is an option)
.
SILVER daily cycle count is day 27. I really wish that Gold and Silver would hesitate and pull back into a dcl near the Fed day, because you could almost guaranteed that they’d take off after that mtg. Again, this is not a normal ICL, but I do see a triangle with an a-b-c drop. That would be really uncommon, but the precious metals have become a powerful bull.
.
FROM THE WEEKEND REPORT
SILJ:
Junior Silver Miners are starting to run at an incline too 🙂 They are bullish, and volume is increasing nicely.
And then I look at these Miners leading the way. The GDX is running strong and many individual stocks are running strong too. They usually need a rest, and a dip into the Fed would be perfect since the Miners are overheating, but a bull can continue to surprise to the upside and just flag or consolidate here and there on the way.
.
You can actually see how price has inclined into a steeper rise. I just hope that it continues to rest here and there so it doesn’t do a blow off top yet.
.
We are a little over a week away from the fed decision and the markets seem to really like the idea of a rate cut, so enjoy the ride and enjoy your Tuesday trading!
.
~ALEX
.
BITCOIN is on day 8 and is finally making some progress, but I sure would like to see that volume increase over time.
.
Recently I have been showing charts of the ‘leaders’ in Crypto, mainly focusing on CIFR, IREN, HUT, WULF, and RIOT as being green when Bitcoin was selling off. They were above the main moving averages and took on more of a bullish leadership look. Some of those Popped in after hrs last night, so they may continue higher now. Hopefully other laggers will kick it into gear too. I had also mentioned HIVE and BITF , but they cooled off a bit.
.
I used this chart for CIFRs big picture , for example.
.
On September 2nd, I showed IREN as resembling a 5 wave run, but don’t go by this as a ‘top call’, because these can extend.
