Close X Cookies are necessary for the proper functioning of 24hGold.com. By continuing your navigation on our website, you are accepting the use of cookies.
To learn more about cookies ...
EnglishFrench
In the same category

Short and Intermediate View of the Market

IMG Auteur
Published : November 28th, 2012
407 words - Reading time : 1 - 1 minutes
( 0 vote, 0/5 )
Print article
  Article Comments Comment this article Rating All Articles  
0
Send
0
comment
Our Newsletter...
FOLLOW : Bear Market, Gold

 

 

 

 

The US indexes predictably rallied during the happy holiday week, with Friday putting a nice punctuation on the bullish proceedings. In fact, I caught myself looking at the TECL, NUGT and individual gold miner positions in my trading account with a big dumb smile on my face. Then I sold them all. Sidetracking for a moment, I have found that I need to get back to more active trading so I am going to further fund this account and ruthlessly trade this market in a discreet account for pure trading.


Back on the post's theme, the holiday volume was suspect to say the least. I have a preferred macro theme for the intermediate term however, and it is bullish for an extended rally pending a confirmation of, or more likely a cleaning out of last week's bullish enthusiasm.




However, for the intermediate bull theme to come about, the market probably needs to take a break first and do some consolidating or bottom testing to build a good rally platform. Otherwise it could be going on to double top city and a more bearish intermediate view.


Both SPX and NDX are at visual resistance zones after retracing 50% and 38% respectively of the sharp holiday rally. Upside limits are 1425 on SPX and 2670 on NDX. If they get above there then the immediate term analysis will probably degrade on a risk vs. reward basis. So Mr. Market, you are advised to take a dump soon and do some bottom testing or at least consolidate with a downward bias.


The lows from the end of May are the absolute parameter on a new bear market or lack thereof. Lose the May lows and these markets would be broken. Above them and the cyclical bull market lives on. So we want to see the leader, NDX not make a lower low to May. In fact, one signal we might look for is a higher low (to the early November low) by NDX while SPX potentially makes a lower one on any short-term correction that may whip up. This would be a positive divergence by a leader and a good bull signal.


The NDX failed (and remains below) the 200 day moving average, which I think moved some bears to call 'bull market over'. But the moving averages are trumped by lateral support, which held. Let's see how the short-term plays out, because it is important to the intermediate picture.



 

 

Companies Mentionned : Signal |
<< Previous article
Rate : Average :0 (0 vote)
>> Next article
Latest comment posted for this article
Be the first to comment
Add your comment
Top articles
Latest Comments
Elizabeth Warren: The 14 Trillio...
02:15sneezy67
Good ideas...good information....but somewhat behind the curve...the water has already gone under the bridge.
Man Grabbed, Crushed to Death By...
00:00user4779
The "lump of labour" fallacy raises its tired old head yet again, mixed in with B-movie-style sci-fi speculation about a terrible robotic future wo...
Max Keiser Interviews GoldCore’s...
03 Julovertheedge
"The IMF said that Greece requires additional bailout funds of around 50 billion euros until 2018 under the current bailout conditions, and slashed...
Greece’s referendum
03 Julend
"History may judge him instead to have played a poor hand very well indeed." I'm quite sure both Macleod and Varoufakis will be quite disa...
Gold Daily and Silver Weekly Cha...
02 Julglasstiger
Jesse, you use the term "could care less" frequently. Is this American speak for "couldn't care less"? Similar I suppose to the ubiquitou...
One more book, Mr. Stockman
02 Juluser4779-1
While it is true that "[Gold standards] were abused, suspended, and ultimately abandoned in favor of a currency that central banks could inflate at...
Panicked Hedge Funds Now Praying...
30 Junovertheedge1
"... and the silly game theory ..." Obviously you have no knowledge of game theory and its applications. Otherwise you wouldn't have used ...
The Gold Standard: Generator & P...
30 Junuser4779
Is it really so bad for Americans that they do not spend their lives labouring on a production line to make mass-produced goods, and have left this...
Most commented articlesFavoritesMore...
World PM Newsflow
ALL
GOLD
SILVER
PGM & DIAMONDS
OIL & GAS
OTHER METALS
Mining Company News
Gray Rock(Au)GRK.V
Gray Rock Closes Non-Brokered Private Placement
CA$ 0.02+0.00%Trend Power :
Corporate news
BP plc(Ngas-Oil)BP
BP to Settle Federal, State GoM Oil Spill Claims for $18B - Analyst Blog
US$ 41.29+5.14%Trend Power :
Corporate news
Clean EnergyCLNE
ALLETE Clean Energy Acquires Wind Farm in Pennsylvania - Analyst Blog
US$ 5.37-0.56%Trend Power :
Corporate news
Junex(Ngas)JNX.V
Junex Closes a Portion of its Private Placement for Proceeds of $5 Million
CA$ 0.80+0.00%Trend Power :
Corporate news
Yingli GreenYGE
SHAREHOLDER ALERT: Pomerantz Law Firm Reminds Shareholders With Losses on Their Investment in Yingli Green Energy Holding Co. Ltd. of Class Action Lawsuit and Upcoming Deadline - YGE
US$ 1.15-3.36%Trend Power :
Corporate news
Fortune Minerals(Ag-Au-Co)FT.TO
Receives Notice of Default Under Prepay Facility and Reaches Agreement in Principle to Settle
CA$ 0.05+11.11%Trend Power :
Corporate news
Potash Corp.POT.TO
K+S says no basis for talks suggested by Potash Corp
CA$ 39.26+0.98%Trend Power :
Corporate news
EMED(Au-Cu)EMED.L
Director Share Purchase
GBX 4.63-2.53%Trend Power :
Corporate news
BP plc(Ngas-Oil)BP
BP Celebrates Start-up of Zhuhai PTA 3 Plant
US$ 41.29+5.14%Trend Power :
Corporate news
BP plc(Ngas-Oil)BP
BP to pay record $18.7 billion to states affected by spill
US$ 41.29+5.14%Trend Power :
Corporate news
Comments closed