Slope of Hope Blog Posts
Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
Let us take a break from the daily up down dance of the stock markets. We are so glued to the five minute charts that we are losing the sight of the bigger picture.
I have been writing for a while that I am not expecting the bottom to fall off the market anytime soon. Not in 2011, not even in 2012. Why such optimism in the face of such bad environment? When it is not sure if Europe and Euro will exist at all in its current form? When recession is almost certain in Europe and China is preparing to cushion its landing. The answer can be found in the coordinated action of the seven CBs (Central Bank) last week. Like in Japan, the CBs of the western world will keep their TBTF Banks alive with continuous injection of liquidity. It does not matter that these banks are all Zombie banks, dead men walking.
Sparse on the commentary today, mostly just charts. This week should provide us the signals to determine the trading direction into the end of the year. I made no trades last week. Better to wait for clarity. I didn't draw in all the arrows, but each chart is implied up or down from here. In my opinion, this is either a decent bull entry zone or a fantastic bear entry zone.
I have had enough damage done from marrying myself to an analog that I approach them with caution these days. Just like Elliott Waves, analogs represent for me enough disappointment that I view them with suspicion. The difference, though, is that in my opinion Elliott Waves are greatly for explaining what happened (after the fact), whereas analogs can actually have some utility for predictive value.
The market is sure testing the patience and conviction.