Back on the 10th, I had offered up the Brazil fund ETF as a short idea, based on its clean pattern and neckline. Well, yesterday’s explosive rally did nothing more than affirm the strength of this pattern, because the neckline was challenged but not breached. This morning, we opened lower, and I have even more faith in this idea than when it was first suggested. (more…)
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.
The Santa Rally Begins
I was saying yesterday morning that coming into Fed day just under clear pattern resistance augured badly for bears, and so it turned out. After a test break above SPX falling channel resistance SPX pulled back, made a new RTH low immediately after the Fed announced tapering to start in January, and then broke up for a massive short covering rally as people realized at last that cutting bond purchases from $85bn to $75bn per month wasn’t really much of a change after all. The move from the post Fed low into the high just before the close was an impressive 45 handles as a lot of traders were forced to eat their shorts. (more…)
Taper Tantrum
