After another great Jim's monthly commentary there is no much left to show here. Maybe I'll just add two other major indexes, which like everything else shown by Jim sit currently in make or brake areas:





In my opinion the upcoming move in either direction will be kind of "everything the same" violent and sustained move. The reason for this will be fear driving the market both up and down.

The one driving everything up will be the fear of upcoming inflation. We should all realize that the only way out of this overwhelming debt the world is currently in is to make this debt worthless. Politicians of this world are not able either to save or to raise taxes to a level necessary to service the existing debt. So they will look for ways to inflate us out of this mess and will find them sooner or later. And they don't care at all about the price we all will have to pay for this.

The fear driving everything down will be the one of the coming correction which is overdue by any measure, of the economy not recovering and maybe poised for another leg down and of contracting overall credit despite of all Fed's initial efforts.

So we have two major forces pointing in opposite directions. Once one of them prevails it should cause a massive move in its direction. But since the countertrend force will also be based on fear then we should also expect sharp countertrend moves.

So fasten your seat belts, since after this relative calm of the last few weeks, we are in for a wild ride in 2010.

I think it's going to just be more 'up'. Nice ABCD setup we just had at a line, and up it goes. We all know the spots to watch here for clues to see if this premise is weakening, but until proven otherwise, every pullback setup is just another potential opportunity for me to get long.

Yes rolled over to 0.886 and ext 1.46 in a sort of a 3 drives at least overlapping conditions see what happen here with one high
taken out.





Mats

And there's another new 'bull market' high, right off that pattern. Nice close at the HOD, too.

There are so many potential Roofer's The Trade setups at todays high that I don't know which one to choose:

You guys and your shorts... :-)

I agree that it seems unfathomable at this point that any serious decline might have started at yesterday's high. This fact alone makes me very careful when I see such number of setups pointing to the downside.

See what it can do with this pattern



Mats

What a nice DB ABCD right into one of those green Roofer's lines:

I deliberately didn't call it Wave 2 from the top - the Dark Force is not asleep :-)

Kane EXP.

Good Trading,

Al Kamego

Yes, roofer, your charts have been awesome, and I think very helpful to the crew.