Four Hours and Hours

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This morning, I wanted to share some charts based on four-hour price bars. I think they paint an interesting picture. First of all is the ES which obviously has been grinding higher. The key word is “grinding”; take note of that resistance trendline. It takes back literally to March 2009. It has shown its resistance power amply, although its angle makes it possible for the market to just keep making lifetime highs even though it is hemmed-in.

esgrind

Our dear, dear friend gold is really starting to shine. I have bored you, surely, with my optimism by now, as I’ve been yammering on about gold since late December. To me, this represents the realization of central banker madness more than any other instrument.

goldwin

Similarly, bonds continue to hold up nicely. Breaking above the trendline was the first achievement. The second, which is very close, would be slipping above that horizontal line I’ve drawn on the ZB chart.

zbtri

Somewhat more obscurely, I keep one of my eight screens honed in on KBE (the S&P banks sector) at all times. Bit by bit, this is turning the tide.

kbe

I remain, as I have all year, crazy-short, with the notable exception of a king’s-sized long position in gold miners. Have a good day, Slopers.