Hey, look, I’m as pissed as anyone that the sell-off has been smothered in its crib (thanks, Gartman!) but I want to offer you this silver lining:
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.
Depress-di-cator
Those of you trading based on the Tim Depression Algorithm (TDA, even though it’s wholly unaffiliated with Ameritrade) were, of course, greeted with red numbers on your quote screens this morning. In fact, at the moment I was glancing at USD/JPY on my iPad, the dollar rocketed higher……
All Bid Up and Nowhere to Go (almost)
Before I get into the Trade Idea, I’m going to review the context of the S&P500 from a structural standpoint and a typical deviation standpoint. First of all, structurally, the Weekly and Daily charts show higher highs and higher lows, the very definition of an uptrend. In November of 2016, the SPY completed a $20 wide trading channel of which currently price is a stone’s throw from its high resistance. The channel would suggest that buying potential is limited.
Now, anyone who hangs around the comments has seen that I use 5% simple moving average envelopes around a 100MA as a measure of movement potential (oversold, neutral, overbought). Where are we now? Yep, hit it on Friday. Again. (Click on any chart to see a larger version).
Zero Fear-O?
Happy Winter, everyone! Yes, it’s the winter solstice. As we wind down the last few trading days of the year, volatility is collapsing to levels hardly ever seen before in financial history. It actually reached a 10-handle this morning. Incredible.
