Topsy turvy
January 25, 2010
Why is this pullback in the markets more significant than any other in the past nine months? There is a negative divergence which set up the turn in the McClellan oscillator – higher prices, but lower market breadth. This is exactly the reverse of the positive divergence which preceded the market bottom in March 2009.
In relation to previous comments of relationship to intermaret, crude, yields and euro, 1/11 gave us intermediate term highs, lower highs , which lead to market sell. In area of execllent McClellan readings. Currently we have intermediate term low, Higher Lows, today. With lows in complex occuring Friday PM late, This Monday, we have line up for possible rally,if fridays lows hold. It appears we have positive reading in McClellan, but comment from host would be appreciated. Prior to highs in first of year we had McClellan diverge in mid october again with complex of intermarket showing there, but rally first of November into the highs shows by McClellan and our host post. We will see but lookingat fridays lows to tell. A large rally will be necessary to correct the trading of past three weeks. Are we looking had head and shoulder with lower prices forcast, if rally and then failure then fridays lows become neckline in days or weeks ahead. good trading to all . Thanks again Voo Gate
Comment by STEVE GARNER (GATE) — February 8, 2010 @ 10:10 am
Additional markets to compare would be beans , gold, silver at or after 1/11 and fridays lows here. CRB readings comparison some market based ETF s as well. But, because top and host readings occured at first of a new quarter overall bias at this time for this quarter is bearish. A great deal of correction will have to occur to change that bias. Gate
Comment by STEVE GARNER (GATE) — February 8, 2010 @ 10:37 am
So far so good on rally, hourly group, es, yields, crude and euro higher lows, and dollar lower highs–time frames of these progressive higher lows are 8 am est 2/8, 1130 est 2/9 830 am est 2/10 and this am 630 est today euro breaking lower so caution there, also note test of previous lows before rallies occured with yield and crude leading higher. caution of euro must see higher areas there otherwise a lower high in complex could develope and call halt to this rally. good trading to all Gate
Comment by STEVE GARNER (GATE) — February 11, 2010 @ 10:56 am
Correction of 2/9 time frame that is 6 am est , but please note the test of the globex nite session, to 1130 est same day, then rally from that point, Globex test is another subject but two good time frames for curious traders to study. Gate
Comment by STEVE GARNER (GATE) — February 11, 2010 @ 11:03 am
Lower highs, per comment of euro yesterday from hourly charts, euro was relatively weak to complex , yield, crude, es, this was a caution to continued rally, a lower high in complex was put in 130 est this am. next move was lower prices in complex and end or profit taking opportunity from rally of last friday were a higher lower was established. Tool that serves well is vix versus yields or in this case bonds. Some study in that area may be fruitful. Good trading to all Gate
Comment by STEVE GARNER (GATE) — February 12, 2010 @ 7:40 am
Intermediate term high and low updates. Higher lows in ec, cl, yields and es complex 2/22 hourly as a buy. This am, or actually late yesterday pm. lower highs in complex to give intermediate term sell in general complex. Note lower highs in entire complex and restated this am at opening. note the test of am sell to 430 est time frame –further example. Trade in spy at about 111.10 this am early. Options same principle maybe ETF groups with lower highs or relatively weak action to overall spy market. example eem, yesterday pm. good trading to all gate
PS. Trin showing lower highs in yesterday pm session as well. Options out of way , expired, now new wave of action as to date a sell Vix a lagging indicator higher highs yesterday, but note their lower high this am with complex. all our ducks in a row –where are they to go. Complex trend followers will say down. gate
Comment by STEVE GARNER (GATE) — February 23, 2010 @ 8:37 am