Here is the longer term bearish 4PT we've been talking about lately:




Both breaking it to the upside and respecting it should result in a strong and sustained move in the given direction

ES just hit a double top there, so my caution level is still high.

I think this is getting close to the 'rapid scaling' phase.

Okay, it didn't drop any more, and turned and rose above the area. No scale outs triggered yet, and ride until close still intact. With only ten minutes left until cash close, looks like I'm going to get the read right on this one. It would be really nice to see this close at 93-94, creating another close right at a key area, a habit the market seems to like to do lately.

On the other hand (I'm like the three-handed economists), this has that 1-min ABCD and last push look to it, so maybe it has done its thing for today. I mean, it doesn't matter to me, I saw the setup and a proportionally huge move ensued, whether it goes up a few more ticks here or starts down, it doesn't matter for the intraday play. I'd just like to see it close at that super-key 93-94 area. But if you draw the shorter-term TL, it just about hit it, so anywhere in here gets to be an issue for the bulls. They must prove themselves in this line to line action.

this chart is a CLASSIC in how i see the markets.... i will be glad to answer questions.... but i think everyone here knows the drill.........

the tools have been hammering the markets for the past ten days on the very short term... all here know what that means to me.... in my position account( where i try to capture large moves) i am all short... all entries triggered by .886 on gap on 5 by the way....todays action feels very familiar... and took prices back to key areas as jim pointed out........what is missing is across the board setups in my 60's and daily's... the rushes to the dance....perhaps it is me.... i just dont see it.....

Originally posted by roofer

... i will be glad to answer questions...

Your chart is rather self-explanatory: test and retest at upper ML, line to line drop to the drill bottom exactly at required time of the day, W2 Kane ABCD that finished at .886 on the day with the gap and ... up it goes line to line again. Would you like to point our attention to anything in particular?

i just keep hitting the trade

the stocks i need to set up an across the board sell are RUSHING TO THE DANCE!!!!!!

Last thought to better explain the above. Here's what the conventional thinking is. Crude and the comms start to rise. Pump gas rises and all this puts a big crimp in the economy, and the prices drop due to the dropping demand of a weakening economy. Crude can never get to $200 (or $1,000) because demand will drop tremendously way before then. Now, here's what the conventional thinkers are missing.

Money printing causes a repricing of comms higher, and the excess cash flows into hard assets, giving the double whammy to the rise. Once this trickles down (and pump gas and grocery shelf food prices are the two biggest ways I feel this kills the average American), the economy will slow rapidly. The FED will respond with more money printing, which not only steals whatever tiny little bit is left of your cash savings, it will reprice the comms higher, and feed excess cash into hard assets, with even more vigor, as the debasement is obvious. Demand drops, and prices rocket higher.

This is the acceleration phase of hyperinflation. Wages don't keep up, savings are destroyed, the economy gets a lot worse, and the FED prints more money. The loop is complete, and it feeds on itself. This is what has begun, in my opinion, and nothing in heaven or on earth can stop it. It reminds me of an old TV commercial, which showed a guy on a merry-go-round type thing, and he was saying 'I have to work longer, to make more money, to buy more cocaine, so I can work longer, to make more money, so I can...' faster and faster, until he eventually explodes I would guess.

That's our system right now, and they've gone too far to stop it, change it, or ever admit they were wrong. They are going to blow us all up, and we are all going to stand by and watch. Mark my words. And although this is just one man's opinion and nothing more, you know my track record on reading things...

Have a great weekend.