I was caught off guard by yesterday's sell-off. Very unusual to see something like that on the first Monday, of a new quarter. Who sells on a Monday morning?
$SOX chart looks very bullish - going into Oct. OPEX, and confirms the pattern I pointed out on the $NDX chart in yesterday's update.
Energy
If you remember, I had raised the target on Brent crude to $81, and the corresponding target on WTI is $77, and that level is being tested right now.
$WTIC monthly view - testing resistance
$OIH - Oil drillers - Possible wave III of (3) crash comes next. If you look closely you'll see that it's also traded into a right shoulder.
#NatGas retested resistance, but no change in the chart. ST target still looks like 4.50, and the weather has been unseasonably warm.
Looks like the entire commodities space has overshot in a broadening top pattern, so I'm expecting a devastating reversal. Chinese to prohibit bank and insurance funds from being used for speculation of commodities (linked).
The bearish reversal - in commodities - could be HUGE!
$DBC commodities
That's all, AA
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