Monday, March 14, 2011

3/14 Daily Commentary

My accounts are up on the day, but it didn't feel like it.  Stock futures went into a triangle last night but finally broke down to retest last Friday's lows before bouncing back into the close.  DJ futures tapped their 50-day again.
I can't even think about going short until 3/25 when I1 peaks, so I want to be long here.  Long stock futures is more leverage than I want so I'm content with 4% SSO.  Until the 50-day is broken I will count on I1 to pull out another rally.

I have an order working to short Euro near it's old high.  The 3wave upward correction has a pretty obvious count requiring another small rally to complete.

The old high will probably be slightly exceeded but I have my order in selling at 139.99 basis June Euro.  The dollar is absolutely detested out there, reviled and scorned.  Neat, huh?
EWI pointed out a trendline on the weekly DX chart.


The precious metals only have 2 more up days until they enter the period of a potential high.

Even if the absolute highs occur within the plateau period there is a subsequent strong rise into the end of April.

2 comments:

  1. Looks like there's going to be a meltdown - of some reactors, and maybe the market. It's a tsunami of bad news. Be careful out there!

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  2. Steve, I don't think I1 accounts for things like natural disasters so how do you reconcile that with your trading strategy in times like these?

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