Here is the updated medium term chart in ES:




Lack of at least a bounce here following Friday's bullish 3D right into such an area would indicate that something more serious to the downside might be brewing here. Breaking the rising TL from August low (thick blue line) would only confirm this.

traders will recognize that kane abcd's have set up agaist shorts.... now crap shoot...

time and geometry out of synch

Look at that wedge/triangle! Right near the apex. But, after a big trend day I find these frequently 'break out' and do several trap fakes, and then just chop sideways like the pattern wasn't even there in the first place.

Okay, get ready, trap #1 about to spring.

This is a classic TL creep, which usually (lately on the bullish site always) ends up with an upside breakout:

Okay, there's the break to the upside from the wedge/triangle. Now we see if it is one of many traps, or a 'real' move. Normally I'd bet on the former, but those bulls...

'My' DBC smokin' off at another new high, and at the HOD. This one might be the 'play o' da year/decade'. I wonder where DBC will be at when hyperinflation hits overnight?

Cotton is just smokin' off at another new record high, and sugar is strong. Wheat is on fire, on the Australia wheat crop news. I think it's started. The commodity explosion and the potential hyperinflation scenario are beginning.

Understand, hyperinflation and high inflation are two totally seprate things. We may have very high inflation coming, say 50% or 100% a year. That can come from all this excess money. Hyperinflation happens when there is a currency crisis and the currency is considered essentially worthless in a big panic rush for the doors. Then inflation of 100,000% a month, or even several billion or trillion percent a year, is common.

All I know is we are playing with matches over an open gasoline can sitting in an oil refinery, and something incredibly bad is bound to happen. And we'll never see in advance which match is going to set it off. All I know is, once it starts, it likely will be too rapid to follow with the eye, and way too rapid to do anything about at that point. Brace yourselves.

Okay, double fake up, one for the triangle line, one for the TL, and then down through the bottom triangle line, all exactly as suspected. Now, is this the fake down, and then the snap back up? Let's see...

Or, some how, some way, is it really going to sell? Har de har har...

http://www.zerohedge.com/article/chris-martenson-answers-how-long-party-stocks-can-last

Marc Faber, love him or hate him, said the chances, he feels, of the U.S. entering a hyperinflation similar to Zimbabwe: 100%.

I can't refrain myself from quoting here a fragment of famous Polish poem for children - "The Locomotive" by Julian Tuwim:

"...

First a toot!
Then a hoot!
Steam is churning,
Wheels are turning!

More slowly - than turtles - with freight - on their - backs,
The drowsy - steam engine - sets off - down the tracks.
She chugs and she tugs at her wagons with strain,
As wheel after wheel slowly turns on the train.
She doubles her effort and quickens her pace,
And rambles and scrambles to keep up the race.

Oh whither, oh whither? go forward at will,
And chug along over the bridge, up the hill,
Through mountains and tunnels and meadows and woods,
Now hurry, now hurry, deliver your goods.

Keep up your tempo, now push along, push along,
Chug along, tug along, tug along, chug along
Lightly and sprightly she carries her freight
Like a ping-pong ball bouncing without any weight,
Not heavy equipment exhausted to death,
But a little tin toy, just a light puff of breath.

..."

Have a great weekend all!