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

Just a small Kane TD ABCD up against a 0.886 Fibo. I thought the price rise off Point D was impressive. The 3-10 SMA divergence was marginal.

Good Trading,

Al Kamego

IN MY MIND,THE RETEST THIS MORNING CONFIRMS THE IMPORTANCE OF THIS CHART

i am NOT going to reverse at the upcoming .886 at geometry.....

so far the sellers of geometry are right and i am wrong...

Flat/4PT hybrid with an ABCD in the CD leg (a good thing on a flat/4PT), I'd say it's ripe to roll.

It's also back to that TL area once again. But, if they burst it back up and over after this little drop it might really get going. I'm staying respectful of the area until proven otherwise.

I suspect it may push up from here and do a 1.272 into the 1.000 ABCD area. That would get it above all the recent swing-highs except the main one, and balance out this pattern better. We'll see. I surely am considering roofer's hook premise, too.

Watch for a lower high failure in here, too, in case...

So, let's see how it handles 88-89.

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.