Safety First

Each trade that you take has some risk to it. Some trades are low risk  set ups with higher probability of success and others are just plain risky, depending on the set up.  We will discuss that a bit later in the report. 


SPX- The Fed didn't change this chart very much.  I still see similarities between the double bottom in Aug & Sept, but it is weak. Notice the candle for Wednesday rallied on the Fed and gave it up.  The buy the dip crowd is weak. We are not oversold yet, but getting there.

SPX 2-10 . Read More

Moving Forward On A Fed Wednesday

Today is sort of a Fed Wednesday. It doesn't mean that there will be some big surprises, and in fact I do not expect anything like that, but I didn't want us to go into this blind folded. Certain areas of the market are due for reversals in my opinion, and a Fed testimony before congress can act as a catalyst, even if nothing new is said. Lets just Look at the charts.


Tuesday the NIKKEI was down 900 points, and it is currently down another 400 this morning, but...


They couldn't get the sell off in the U.S. going.  THAT should have sold off the U.S. markets if they are going to drop In My Opinion.   I've been expecting a bounce, no change.

SPX 2-9

I have mentioned that when I look at the Banking index, it broke down and is struggling at lows...

Read More

I’m Starting To Sell, Not Chase

What a rocket ship ride Miners have been on.  Buying the lows has brought about some huge gains for some, and I had encouraged not selling too early with this type of set up.  Now it is time to start thinking about locking in gains, and not chasing these moves.  A pull back will come and that may lead to a buying opportunity.


GDX - And we have a shooting star/reversal candle in  GDX and many of the Miners. A pull back usually follows.

GDX 2-8 at 15  

NEM - I was looking at that large base and encouraging those holding a Miner like this that it may not be time to sell yet,  just because the 200sma usually acts as resistance. This could keep running.

NEM 2-1

NEM - But now one has to start seeing this straight up move as a time to at least start locking in partial profits, and using a trailing stop on the rest.

NEM 2-8 Read More