Jul 31, 2015

Update

I suspect that the SP500 is in the middle of a triangle. If I am right expect choppy and boring August unless you are short term trader... nothing different than the previous 8 months:)

It looks like we have 5 waves higher, pullback should follow probably to support 2080-2085. Another leg higher with the same size and SP500 will hit the previous highs 2130-2135. One final pullback from resistance the previous ATHs will finish a triangle.

And this is how it looks like on the daily chart.

7 comments:

  1. Anything new on gold? I wonder whether this boring action is suggesting some strong upside action soon. I just think we need a bit more downside for that to materialize. Grazie ancora.

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    1. Gold - 9 day sideway trading... sellers exhausted, but the buyers are not interested.
      Silver I do not see an impulse GDX/GDXJ and gold with small impulse - I expect one more small leg higher to finish corrective move... gold around 1110/gdxj around 21.
      And because buyers are not interested I think we will see a bottoming and not reversal - subsequent lower low with divergences.

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  2. Keep up the good work. I like to read this blog! :)

    Cheers

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  3. Great forecasting!!!
    Love your work..
    But do you see all of your above charts to finsih in August?

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    Replies
    1. If I am right about the triangle it is usually a time consuming, and if I am right that we saw 40 week cycle low I expect to see at least two 40 day cycles - 20 days still to go from the current one and at least 10 days higher from the next one, so a rough estimate at least 30 trading days or 6 weeks.
      I suspect mid September or later. August looks a little bit too short - the triangle should be finished in two weeks until 14.08 so that there is another two weeks for the last wave.

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