Tuesday, October 19, 2010

10/19 12:15

Seeing the I1 absolute level so low I'm hesitant to put stops on futures positions, but I must.
DJ futures 11,065 stop
SI futures  24.27
DX futures 1% only 77.56
The chronology of the sentiment turn:
Copper 10/13   unconfirmed
Gold/silver 10/14  partially confirmed, waiting on SLV < 22.96
Dollar/Euro 10/14 confirmed
Stock market 10/15 unconfirmed, waiting on 10,869 DJI
Of course, most traders and investors are unaware of the turn in progress. 
The dollar is the most telling.  This market spans US trading partners who are sterilizing Uncle Ben's machinations.  Ben wants dollars to leave the US, but foreigners are parking more here.  Once world stock markets decline in unison the dollar market will be flooded with spec flows into it. 

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