S&P 500 to Crude Oil Ratio 4/15/2016Watch the lines for a place to jump in on this downtrend of the Equity/Crude ratio.
Usequities
S&P 500 to Crude Oil Ratio 4/15/2016Watch the lines for a place to jump in on this downtrend of the Equity/Crude ratio.
S&P 500 to Silver Ratio 4/15/2016This is the perfect chart for shorting the S&P 500/Silver ratio strategy. Watch the lines. This ratio looks like it is about to drop.
BCEI: Possible Ending Diagonal to Spark Huge RallyBCEI may have completed an ending diagonal at the end of wave C of a zig-zag correction. This could send the pair on a rally toward its price target at around $9. In addition to the wave count, the current level is confluent between .618A=C, 1.786i=v, and iii=v which are all important levels to watch for support and resistance, especially toward the end of the final wave in the sequence. It should also be noted that the stock has a price target of $9 according to research analysts at KLR Group.
AAPL Short: Wave-3-of-(C) PA Indicates More Downside AheadAAPL has completed a five wave impulse and has been in a pullback since February 2015. Since wave-(A) was a three wave move followed by a pro-regressive 3-wave (B) rally, we can expect wave-(C) to be counted as five waves in a 3-3-5 flat. At this juncture, it is difficult to predict how deep price will consolidate after wave-3-of-(C) completion, but we will likely see one of three scenarios unfold (details on chart). After wave-3 completion and consolidation, the continuation through the completion of (C) would provide an excellent short opportunity.
S&P / SPY Analysis. Shorting opportunitiesSPY not showing strength . Bearish Gartley has completed. Any run ups into the 1.618 extension should be sold. This will still be valid Gartley territory.
Divergence on the RSI
On Balance Volume has not been able to make up volume lost from last week and has broken it's short term trend line.
MACD crossover and short term momentum has swung to the downside.
An InterestingAnalysis of DJ30 with the MACD technical indicatorWe are now in unfamiliar territory.
The MACD technical indicator Moving averages has crossed over above 120 points 22 times since 2003.
Of those, 22 times, 19 of them led to at least a mild pullback within a month.
3 times it moved sideways or down where no money could have been made at all within one month.
The MACD has crossed over 200 points 6 times since the early 90s, it was then followed by a pull back EVERY time within the month. In 2009, the minimum move was 250 point drop but then it went much higher in the following years. The largest pullback was in 2001 when it dropped 2700 points. The average pull back is around 1000 points, but there is a first for everything I suppose. Will it continue to go higher?
As this is a mature market, following years of stimulus and cheap money, my bet is that the market simply doesn't have the fuel to keep going and as the MACD crossover happened at such a high level, I see at the very least around a 300-400 point move down within the month. This presents a very good risk/reward opportunity.
