On Friday Pound stopped right on a monster level, so the move up might be done, at least for a while. However, it likes deep W4s testing W2 highs (in a downtrend), so one more impulse to 1.4260-70 won't be any surprise.

The next area is 2096-2100. It really should start to struggle in here, though, at least for now.

Okay, watch as this area here is hit. All I am doing is looking for clues as to start scaling, or keep a full position riding, as far as what the methodology indicates.

ZH headline:

Morgan Stanley Profit Plunges By More Than 50% As Trading Revenue Tumbles 40%


Result:

Stock is up on the day.


Thoughts:

Same old, same old in the manipulation phunny munny era.

Yeah, rat, all the S&P variants are pushing right up on that slightly downsloping TL. I can't imagine all of them getting that close and not getting the new all-time highs, off an ABCD like it is. It is structurally set up to make a move. I'd prefer not (strongly), but I can't see it doing much off the TL's. It would take a major news event to turn this bearish, but even if that does come in right on time, I still can't see leaning on this unless it reasserted itself down first. In other words, yeah, after the fact if a news/shock event did send it down right off this, I still can't see positioning right now off it, against the trend. Just my two cents as a trend follower.

There is so much here, from the local stuff to the big, key TL's, it should come in somewhat here or slightly above. I'd prefer here. Even a KZ pullback is now due (it was too early before), but will it? I think for the very advanced trader who was very quick to jump, and very good at reading the market, a shot could be taken here.

I will caveat the above, though, with a few things. To take a short shot here the winning long has to be closed. That would not happen on a trail, it would just have to be closed. This very well may be it for the day, so that might work out good, but it may also go more. How much more? The point is, the decision may depend on more than just is this a countertrend possibility. One may make a different decision based on a current play, or lack thereof. And think about the ramifications of choosing a play differently based on how you are positioned, not strictly on the technicals. You want a fish, or do you want to learn to fish? I doesn't teach much for me to tell you what I may do here. Some day I won't be there. You need to understand what I am thinking right now, and why.

Now, a nice pullback here would be to the 78.50-79.50 (center of area) upper KZ. Will it do it? Unless we see a change of character, I think it would be quite a stretch. It may quit around 82-83 area. I would find that pretty pathetic. But, it's all one-sided today, and betting against that usually doesn't fair so well. Hopefully it will do a little more. If it really got going, and I see very, very low odds of that, I will post one lower area. Don't worry, I won't likely have to waste any ink on that one. I'd be happy if it even makes it to the first area...

C'mon, give it to me, baby.

It's been a wonderful week for me. I want to thank everybody for their comments and charts and I'm really happy to be included here. This is a breath of fresh air to be with a group like this. Thanks to all for putting up with my "newbie" questions and learning process. Hopefully I can climb the learning curve and be up on the slope where you all are! Everybody have a great weekend and will see you on Monday!