If this breakout means what I think it means, our dear friend Ben Bernanke, whom I shall curse through gritted teeth on my deathbed, is in serious trouble. It couldn’t happen to a nicer guy.
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.
Charts of Interest
Most folks think it’s all about Syria at this point. I disagree; I think it’s all about interest rates. And the continued weakness of bonds, in the face of the completely-untapered $1 trillion per year purchases of bonds by Bernanke, spells disaster ahead for all asset classes. (more…)
Mind The Gap
I covered the short term bull case on SPX pretty thoroughly on Sunday, so I won’t cover that ground again today, and here is the link to that post ‘Cave Taurus’.
Since then ES has rallied as high as 1649, breaking up from the double-bottom there with a target in the 1665.25 area. That double-bottom has an equivalent on SPX and if we see that break up in regular trading hours (RTH) then those patterns are both targeting the same area. 50 hour moving average support is now at 1642. ES 60min chart: (more…)
A Pivotal Day
Today is the last day of both the week and the month, and is a very significant day technically for direction here. Bears want a close well below the weekly middle bollinger band at 1643, and ideally also a clear break below rising support from 1343, now in the 1625 area. A clear break below the weekly middle bollinger band will open up the 50 week MA and the weekly lower bollinger band as targets, and those are currently at 1540 and 1564 respectively. With the June low and the possible major double-top trigger level there at 1560 and the 200 DMA currently at 1561, a test of the June lows is a very attractive target if bears can deliver the goods today. SPX weekly chart: (more…)
Inflection Point Test
A key target I have been watching on this retracement has been rising support on SPX from 1343. That was tested yesterday, or very close at least, along with the 23.6% fib retracement of the move up since 1343. On my more bullish scenarios for the next year that is a key level below which they are eliminated, and a test of the 1560 low and the 200 DMA (currently at 1559) becomes likely. We have therefore made a possible retracement low, and if the last breakaway gap at 1652-7 should be filled then that would become a probable retracement low in my view. Until that happens however the bears still own this tape and what we are looking at from yesterday’s low is an oversold bounce. SPX daily chart: (more…)
