Menu Close

One More Wave Before Bye Bye 10/15/24

This is a syndicated repost published with the permission of Stool Pigeons Wire at Capitalstool.com. To view original, click here. Opinions herein are not those of the Wall Street Examiner or Lee Adler. Reposting does not imply endorsement. The information presented is for educational or entertainment purposes and is not individual investment advice.

This advance has been so orderly it feels like it could go on forever like this. Of course, it won’t but we’re here to consider today. And given the recent preponderance of a 4 day loop, it would seem that today would be corrective. In other words, sideways to down a tad. On the other hand, there’s still an unmet 5 day cycle projection that has risen to about 5890. Using a 4 day basis it looks 5900 ish. When they get this close, the round number syndrome dictates that it’s normally a done deal. Although maybe not today.

5857, right here as I write, looks critical to the very short term outlook. If it holds, then the market may be shifting into trending mode, perhaps for a blowoff move. If it breaks, then a little deeper pullback would be in order. I don’t see the likelihood of anything dramatic on the short side. Any pullback looks destined to see buying come in at old rising trendlines located every 5 to 10 points on the downside. The most important trendline would be in the 5825-30 range later today.

Hard to believe that we’re talking about spport in the 5800s. Whodathunk we’d ever get this high. Round Number Syndrome

16ttta

Meanwhile, gold is holding in its trend channel for now. Can it go higher? Gold Says, Not So Fast!

16tuer

And the 10 year yield was driven back from the top of the trend channel yesterday. Light supply helped. But that won’t last long. On the other hand, estimated tax collections for the quarter are due today. That windfall could result in T-bill paydowns for the balance of October and reduced coupon supply at the end of the month. We’re Now Week to Week for this Bull

16tufd

image.png

Over on Crypton, this pattern has the BTC bros dancing on the ceiling.

16tuvn

So, my FX mavens, should I buy more EUR here? I have 18 months worth of living expenses stored in my piggy bank in eur. But the USDs keep coming in, thanks to you and Uncle. Trading FX is hard, especially when you have no choice. When you live in one currency and earn in another, you are always trading, even if the choice is to not trade.

My reading of this chart tells me that 1.09-1.085 looks like a good place to buy euros.

On the other hand, looking ahead, it seems to me that the ECB will need to be easier than the Fed. And that would mean a weaker EUR vis a vis the USD. Ach! Decisions decisions.

16tuww

For moron the markets see:

If you are a new visitor to the Stool, please register and join in! To post your observations and charts, and snide, but good-natured, comments, click here to register. Be sure to respond to the confirmation email which is sent instantly. If not in your inbox, check your spam folder.

RSS
Follow by Email
LinkedIn
Share

Discover more from The Wall Street Examiner

Subscribe now to keep reading and get access to the full archive.

Continue reading