That should be no surprise to STB readers. We all have done the math and know that there is no solution to the debt crisis at this point. The only
Ron Paul did well last night. We need to keep supporting his cause as a true
constitutionalist that will end the Fed. This is what this country needs more now than ever. Restoring freedoms and ending the central planning cabal is most important. More of the same is all you will get with any other candidate.
STB received quite the honor yesterday being included on Washington's Blog blogroll. Most regulars know WB's fine work exposing the bloody truth behind the MSM and government's lies regarding some dicey subjects. Their work on 911, OWS, the GOM and many other subjects is some of the best on the web. I link to their posts in the AD's several times a week. I urge you to visit this blog every day as the extremely well researched and documented information you find there is vital to understanding how your government is not all that happy and protective thing you are led to believe it is.
FOMC Schedule - You all know that I love and preach following the Fed. This FOMC Meeting chart has been a wonderful tool for STB. I have used it combined with TA to make some pretty fine calls (if I may say) for some time now. At this moment it appears that a move to upper resistance (blue) at the FOMC meeting on Jan 24-25 would be a likely call and something traders should keep an eye on.
SPX 60m - This 60m chart is screaming turn with divergences, double top and the rising wedge being over thrown. This does not jive well with what I am looking at above, but there is plenty of time for a move to the yellow area or 1220 support and then one last potential rally into the FOMC meeting. This 60m chart has been the biscuits and gravy of timing the past two months as you can see. When one time frame is working well, don't leave it till it breaks.
SPX Daily - Working back to my move to the FOMC meeting thought. Although this daily chart is ready to turn now, it would look even better if they can manufacture one last move up into the end of January. That would set some really large all in short type divergences. We all know they want as much cushion before earnings are announced. The danger to that will be early announcements and possible revisions that should disappoint this quarter.
So to sum all that up - At this time you have to be leaning to the south with the 60m chart, but also be expecting the standard ramp into the FOMC meeting. You have to reevaluate this market every day. News is quiet now which helps the bulls, but sentiment is rather bearish with everyone on pins and needles. Patience, let the trade come to you. I like being short cautiously here looking to have an even better short opportunity soon.
GL and GB!