I'll start with Friday's HOD area indicated by Jim.



The first support areas for me are 53.75 and much stronger 49-50.

28.00. Right in between the heart of the area and the most key line. Wait, it's weakening again...

27.50. My face hurts, I'm smiling so wide.

Reread what I said about my view on the long and short side of things.

Originally posted by jimkane

...Here are my areas (center of areas):

ABCD: 41.50-42.75

28.75-30.00

16.25-17.50

There is some good stuff here, but the ABCD level has some great lines, too. But, for me, I'm only looking for bounce areas to short. I'm not looking long side at all right now. That means either a) I'll get a vibe things have changed and I'll start looking long, and we know how fast that can happen for me, or b) I'll get wrong-footed as I look to push it until it breaks i.e. lean on the short side until it proves me wrong, which means getting wrong-footed at some point, maybe the very next setup. The main reason I am leaning so much to the short side is that everyone is saying this is a very buyable dip and higher prices are all but guaranteed. We'll see...

Woo-hoo, 25.75, key line hit solidly. Now we see if it will even create a bounce. This thing may just head right to new lows for the move.

I just heard on the idiot box that we might be in a correction now. Hmmm, didn't I say that way, way back? Didn't I say the bear might be started? It's easy to call a bear market once it's moved down 20%, but what good is that? These people, they are just comical.

Okay, there is this guy on saying this: The Fed will raise rates because the economy is good (yeah, that's why they will do it, not because it will increase the banks profits), the market will have a knee jerk reaction, and that will be a great buying opportunity. This is wrong on so many levels. First off, things are going to start turning down rapidly soon, mostly in the economy. The Fed will not raise rates whatsoever. I would expect they will start the next expansion in their balance sheet. I once said a long, long time ago that I could see the Fed balance sheet hitting $10 trillion at some point. Not long after Bern-Qwacke said he could see the Fed's balance sheet at $8-$9 trillion.

So, the economy isn't going to improve, it's going to get a lot worse (a lot worse). The Fed isn't going to be able to raise rates when the time comes that they have outlined. Things will start to collapse, and they will be forced to ramp up QE much higher than last time. This should lead to a total collapse of the system worldwide. And people are talking about buying opportunities in one of the longest running cyclical bulls ever, in which the last five that ran this far had four crash severely afterwards, based on an article I read. These people are just nuts, they should be telling people to get the hell out and be happy they tripled their money off the low, and if they bought various smaller stocks they may be up 1,000%, 2,000%, even 15,000%. Time to turn those paper profits into cash and that cash into diversified hard assets in my opinion. But they talk about buying the dips...

Okay, that's three incredible reads in a row posted in advance in here. That means if I keep posting I am overdue to get one completely the opposite of what happens. It's not about how many great reads I can do in a row, it's about getting a comprehensive edge in a 'Trading Plan', which is comprised of a sum of small edges, only one of which is the PTA. Recall I said that the PTA is only 10%-20% of my 'Trading Plan'. I've been more 'lucky' than anything that my last three monster reads all played out pretty much exactly as I outlined them.

It does look promising for the move down to new lows next, but if the selling is this harsh, it will burn itself out quickly, and create a massive bounce, which is typical for bear markets. We'll see.

Oh, yeah, BTW, recall on Sunday, way up around 70, when I said I've pretty much never felt a compulsion to want to short as badly as I did then, even after over 50 points of essentially straight up action? Now you see why. Those instincts are born of about 49,000 hours of hard, hard work.

a very interesting area just ahead here if they want it:

ha ha ha ha ha! Thanks jim ;)