Friday, June 25, 2010

Like I Said, I'm Just Gonna Stick With The 30m Charts From Now On

Monday Morning UPDATE - No post this AM as we're headed to the beach. I may post something this afternoon and will get something out tonight for sure. I'm really looking forward to reporting on the destruction of some of the United States most beautiful beaches. The Little Shankys may even get in on the action as they are pretty pissed about their beach being destroyed. As for the market, follow the charts below. I'm thinking the divergences should have some meaning and should produce a pop, but remember that the reversals of late have been hard and fast with little signaling them.

Yesterday I said to look out for divergences on the 30m. I got a 12 point pop and then, boom. Today we got a 15 point pop and.....we'll have to see. Here are a slew of charts with targets. I'm still confused as to what or where the daily indicators are and why. Weeklys are in the same boat. They are screaming down and yet we get this action? The 30m divergences (all the green lines under the indicators leading to the vertical buy line) that I love so much screamed yesterday to buy and with the fall into the close got even stronger signaling this turn. Hate to say it, but these moves may become intraday and non sustainable pops that we have to get used to. Manipulation at it's finest. 

Not much comment necessary, I'm sticking with this time frame for a while as it seems to have been the most reliable for several months now. All charts (plus some for the 30m ETF's - not always as updated) can be found in my chartbook. Sorry if some are not fresh. Market is moving very quickly. First targets are green rectangles. For you fans of the larger H&S forming, this may be your ticket.

For those of you that want a fresh primer video explaining divergences with this price action you are seeing and how they effect price action (and why I scream every time I see one) please watch this video from MarketClub.

Enjoy your weekend. I'll be reporting from the GoM next week and will have pictures and updates for all from what I find. We're not really looking forward to the mineral bath. The Little Shankys and I will build a massive Mayan temple aligned with the appropriate stars in the sand to try and hex the monsters of the golf, BP. Will have pics for sure. Looking forward to getting you some real news.

SPX - Nearing blue wedge target, but a ways from my first target.

COMPQ - Possibly the cleanest wedge of the charts. 200ma or gap fill possible. 50/200ma should bear cross today.
INDU - Lagging and possibly in the worst position based on my charting of individual stocks in the index. Awesome throwunder of the wedge, but indicators still look like crap. Can't seem to get any momo here.

RUT - has been leading and is already at my first target.