I'm surprised I hadn't seen this before; it's terrific.
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.
Key Support for the ES
Well, the five days the market managed to ease lower felt like a blow-out party for the bears, considering it happens so rarely these days. It's kind of like celebrating the fact that a kernal of corn was placed on your plate for dinner. Whoop-de-freaking-do.
The trendlines on the ES have both provided firm support for the ES thus far, and if it breaks 1439.25, I think it'll just give the bulls more courage. Earlier today, I eased into some bullish positions that have been strong in the recent past (ACI, AIG, ANR, AVP, CRK, PPL, SLM, TBT, XCO, XL) to balance out my shorts. I also took a few profits on the short side.
The Jump
Those of you even a little familiar with me know that I don't get my jollies sitting in front of a television and whooping for whatever I am seeing (like, say, football, basketball, bass fishing, or anything else). But when it comes to anything to do with space exploration, I get interested.
Although I recognized the whole Felix jump thing as a fantastic marketing push by Red Bull, I still thought it was an awfully cool idea. Last week, I watched the first attempt, but that got nixed due to weather conditions. The second one did too. I figured people would lose interest.
But on Sunday morning, I saw he was having a third go at it, and I gathered the family together to watch the entire thing live. I can't remember being so excited and spellbound by anything I've seen on television (except, on the very opposite end of the emotional scale, for 9/11). The little "best of" clip below doesn't even come close to approaching the thrill of seeing things happen in real time, but it does a nice job of showing some highlights. When he stepped off the platform, it took my breath away; and seeing him spin wildly in a free-fall, only to right himself into a Superman pose and get stable, I couldn't help but burst into applause.
There's no actionable trade idea here, people. It was just really, really awesome.
SPX Breaks Rising Channel Support (by Springheel Jack)
I won't include the SPX daily chart today as I posted the SPY equivalent yesterday in my weekend post at MarketShadows and you can see that here. What I have to add to that this morning is that I have had a close look at the current bollinger band setup back to the start of 2009, and have come up with the following stats:
- 9 instances – Touch and reversal or 2 day base at the lower bollinger band.
- 7 instances – A plunge through the lower bollinger band.
- 10 instances – Riding the lower bollinger band downwards as we are seeing at the moment.
Of this last group of 10, which is the group of interest today, and we would now be starting day 4 as the first touch was on Wednesday, the outcomes were as follows:
- 2 instances – A low on the third day – short term bullish
- 6 instances – A low on the sixth or seventh day 20 to 70 points lower – short term bearish
- 2 instances – A low on the tenth day or later over 50 points lower – short term bearish
Top-Down View of the S&P 100 Index (by SB)
The following four charts show a top-down view of the recent breakdown of the
S&P 100 Index (OEX). Each candle on the first chart
represents a 1-month Options Expiry period, the second chart is a Monthly
timeframe, followed by Weekly and Daily charts.
The close-up view on the
Daily (fourth) chart shows that, not only has price broken below an intersecting
uptrend and downtrend support level, but there are also trend breaks on the
Stochastics, MACD, and RSI indicators after negative divergences formed in
relation to a triple top on price. What was support has now become resistance.
If it holds, we'll see further selling, likely to the lower trendline (which is
roughly in line with the 200 sma), or lower. I'll be monitoring these indicators
on the Weekly timeframe to see when they reach an oversold status to check where
price is relative to the Daily 200 sma and lower trendline, and when any
positive divergences begin to form.
