After a news noise event like yesterday’s I wouldn’t read much into the chart until the reverberations settle down. Here’s the hourly. It shows that at 5:20 AM in NY, the rebound reached resistance at 3378.
The 2 hour bars again give an interesting perspective. Note the sawtooth sharp breaks every 3 days over the past week or so. After each, the cycles make a low and start higher. We’re in that moving higher phase now.
The market appears to have been building a saucer base over the past month. It needs to clear 3424 for a breakout.
In the short run, if they clear 3378, then I suspect the target would be 3400 pretty quickly.
If they don’t clear 3378, things could get interesting for bears.
You can follow my intraday snark at the Stool Pigeons Wire. Register there and join in!
Here’s the latest weekend update from my Technical Trader reports.
Mixed cyclicality has led to a rangebound market. There’s no sign that that will change this week. But look out if it does!
Technical Trader subscribers, click here to download the report.
Not a subscriber? Try Lee Adler’s Technical Trader risk free for 90 days!
And from Liquidity Trader, where I’ll post another update later this morning.
Primary dealers have maintained huge and heavily leveraged long bond positions. They are only lightly hedged. Just today, the bond market is threatening to reverse the long term downtrend in yields/uptrend in prices. It’s bad news for the bond market, and for the system as a whole. And that includes stocks.
Subscribers, click here to download the report.`
KNOW WHAT’S HAPPENING NOW, before the Street does, read Lee Adler’s Liquidity Trader risk free for 90 days!
Act on real-time reality!
Here’s where to look for gold’s constructive consolidation to turn up. Meanwhile, I’ve added another pick to our list of miners.
