Finally, crude oil has cracked its trendline. Huzzah, Slopers!
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.
Bullish Set Up Still In Place for Miners
by Avi Gilburt, ElliottWaveTrader.net
Originally published on Sat Mar 18 for members of ElliottWaveTrader.net: Last weekend (Mar 11), I noted that we needed to stay over 21.60 on Monday and complete 5 waves up to give us a bullish set up going into the Fed announcement. On Monday, the market gave us our 5 waves up off the prior week’s low, and on Tuesday, we saw a deep retracement of that initial upside structure, which certainly scared many people in the complex.
The morning of the Fed day on Wednesday Mar 15, I sent out a “Pre-Fed Warning:”
“. . . please focus on the simplicity of where we are. Micro support is 21.20, with support below that at last week’s pre-market low of just below 21. As long as we hold those supports, we have a set up in place to break out.”
As we know, the market broke out rather strongly after the Fed’s announcement. But, please do not make the mistake of viewing the announcement as the “cause” of the rally. Remember, sentiment was set up to take us up no matter what the Fed said. And, the fact that we went up even though most believed that a rate hike was certainly going to cause the dollar to rally and the metals to drop provided us with another example of how sentiment trumps all supposed market forces.
