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 Falling Megaphone on RUT

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A very key pattern that I’ve been watching here for direction is the likely falling megaphone on RUT.This has been a slow developer and has now been forming for an impressive seven weeks. Assuming that this is indeed a falling megaphone then the next target within the megaphone is megaphone resistance, now in the 1511 area, with the main remaining obstacle on the way at the monthly pivot, at 1500 even and tested at the highs today.

Assuming that this is that falling megaphone, then that falling megaphone is a high probability bull flag pattern, and when that breaks up the minimum target will be a retest of the all time high at 1514.4.If that retest can be kept to a marginal higher high then that is the bears’ next decent shot at a larger retracement, though seasonality makes it questionable that we would see that retracement in what remains of 2017. RUT 60min chart: (more…)

Janus Flags

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The Janus flag setup I was looking at on Wednesday delivered yesterday and I’ll talk a little more about these today as they are relatively common and worth remembering.

In this case on SPX what appears to be a high quality H&S has formed and broken down towards a target in the 2635 area. In truth though, as shown on the chart below, a perfect bull flag channel has also formed, which broke up yesterday with a strong minimum target at a retest of the all time high.

What were the tells here? The RSI divergence buy signals and lack of topping patterns on the hourly NQ and TF, and the channel/wedge shaped decline on SPX. A classic example of this kind of continuation flag is a break below the reversal pattern support and then rejection from there breaking declining resistance from the high, and that is what we have seen here. (more…)

An Inverse Correlation To Depend On

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We did the monthly free public Chart Chat at theartofchart.net yesterday, and if you missed that the recording is posted on the November Free Webinars page here.

We were asked a question about a correlation there, and I remarked that I don’t think most correlations are worth much. If you think USD is going down and therefore gold should go up, then it’s best to cut out the middleman and just short USD. That’s not to say however that there aren’t some striking correlations around.

As part of her ongoing campaign to make me feel old and decrepit my daughter has found herself a job, and while she was going to that job on Saturday morning she was astonished to find a group of enthusiastic Flat Earthers sharing the … um …. flat news in the city centre. It appears that Chester is a major centre for these hardcore traditionalists, meaning that there appear to be at least five of them, and they have a website with reasonably grammatical sentences and so on here. It’s certainly an interesting read and they seem very passionate about their beliefs. (more…)