The Dow Jones Industrial Average will be under 6,000 when it bottoms in February 2013.
Now that I've gotten that prophecy out of the way, we can move on.
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.
An Interesting Average
I was reading some material this evening from the folks at Elliott Wave, and I noted with interest they had plotted a 400-day moving average on the S&P. I hadn't ever really tried that before, so I gave it a shot:
Opex Friday (by Springheel Jack)
Opex today so the day is less predictable than it would be otherwise. I have declining resistance and support trendlines on ES, and for what they are worth resistance is in the 1140 area and support is in the 1070-80 area:
The Crazy 88s
I took a step back this week and looked at a longer view than I normally do.
The following is the weekly SPX close since 1990 with both an 88 SMA and an 88 EMA. I can’t think of a signal simpler than selling when price crosses down through the MAs (green arrows) and buying when it breaks up through (blue arrows). As of 2 weeks ago, SPX has once again broken down through the 88s:
| Date | Close | 88W SMA | 88W EMA |
| 7/26/2011 | 1292.28 | 1196.73 | 1217.94 |
| 8/2/2011 | 1199.38 | 1197.96 | 1217.53 |
| 8/9/2011 | 1178.81 | 1198.78 | 1216.66 |
| 8/16/2011 | 1192.76 | 1199.76 | 1216.12 |
Mercy Should Alloy Our Stern Resentment
(1) First Red Arrow – selloff required to give Bernanke permission to shove through whatever agenda he demands;
(2) Green Arrow – Bernanke executes final act to "save" our country, which in fact is the last nail in the coffin;
(3) Second Red Arrow – Tim Knight appointed Dictator for Life of the United States as the markets plunge into oblivion.
