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Tuesday, October 11, 2022

How about this psychological target? Energy & Oil Day 7 & The Icing on the Cake

$SPX 3595 is looking pretty good to me. It's a good psychological target, and we've become  increasingly over-extended - to the downside, over the past week, or 2. 

We're also less than a month away from the Nov. election, and only a little over 6 weeks away from Thanksgiving, and that means we're already moving into short covering season. Everybody, and his brother seems to be short at this point, and the bears are pretty full of themselves, and that sets up for another rip roaring rally....

Here I am, up at 2:30AM Chicago time, Tweeting the ES1 futures action: 

Looked like this a few hours later, breaking out.... 


I could see the pattern, before I even drew it - a down-turned triangle. Indicative of some kind of bottom



 

Tweeted 

 

As far as timing: I think there's a good chance that yesterday's light selling volume, was a retail bear trap, but we'll have to see what today brings. 

Key technical Support 

Of course the financial msm could point to key technical support, but more often than not, they prefer to make up reasons for the market, being up, or down. Every day it's, Putin, Energy crisis, The Fed, as the market is walked down to the next technical target. 

Yesterday, we continued to see some shakeouts in certain sectors, like $SOX, which I mentioned in yesterday's update. Funny, after I mentioned it, I heard it reported several times. 

 I see exactly what's going on. I know what the technical target is, on $SOX, and tech and the rest.... that's why I took profits in $SOXL, and half a dozen other long positions, last Tuesday. Not the easiest thing to do.... 

Tomorrows trade 

The trick is going to be, staying long, once we can confirm a sustainable rally, because what has continued to work up to this point, is to, "buy the dips, and sell the rips". 

Energy and Oil Day 7

7 days since I put the warning out.... 

That didn't stop the fast money from driving the energy sector to even higher recent highs on Friday.  

I did reveal an oil chart yesterday which shows a slight breakout of a down-turned channel. 

Oil overshoots all the time.

 

The Icing on the Cake is that Jamie "Dimon's Dire Warning", as being telegraphed by CNBC; exactly what I expected to see, when I checked to see what the enemy (the financial fake news) is up to this morning! 

After you've been doing this as long as I have, you will also learn not to trust the likes of Jamie Dimon, and co. 

Maybe once I'm a gazillionaire I'll have the same smug look? idk

Think of Jamie Dimon, as just another mouthpiece the federal reserve, trying to talk down the economy. See this Market Watch calendar (linked): Dozens of Fed people lined up every day, to say the same damn thing! BTW Wed. 2PM FOMC Minutes 


Speaking of JP Morgan:

I thought $JPM might fill the gap at $100, but this just looks like a pullback - to support - on this longer term view. 


I had to go back and edit a few things, including: 
 Bloomberg finally just reported that the $S&P is testing (broken though) the 200 week moving average. 



Take Care, and good luck AA 


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