On the way to setting up the perfect short entry, things got messed up yesterday. That very sharp short covering rally turned the very short term indicators I like to use for timing, up too sharply for a near term short entry. As a result, I think we are going to go up for a longer period, perhaps a week or two. We may not do that since I think things are pretty bearish overall, but that is what is going to be required now for my entry patterns to give me a way in here. We could just rollover here and I would miss the trade, I don't get em all unfortunately. What I do is get most of them that have my patterns. I know the odds are good that when my patterns are there, the markets will move in the direction I am looking. If they are not I look to another market. I am not married to only trading the stock indexes, I make most of my money elsewhere in all honesty. This is just because there are alot of other markets so there just wind up being more opportunities collectively from them, when comparing them to just one stock market.
I like to have all of these lined up to do a trade or at least 2 of the three, so this is not looking good now but you never know what will unfold going forward. If we were to roll down today by the end these could come back into line.
Here is Gold which continues to crater, rallies are shorting opportunities here. Once again, I am not sure if this is "it" or just another pullback. This is certainly not the accleration that I think will be there once the exits get crowded. However, we are steadily moving down and this market appears to finally be moving on it's own fundamentals instead of speculation. I think we will have to take out a major pivot point to get $100 down day acceleration type of move that I think is in the future here at some point. Until then I guess if you are a gold bug you buy the dips. There is just not a trade for me right here at this point so I am looking elsewhere at the moment.
I am also still looking to short the British Pound as per my post yesterday, and also possibly the energies and a couple other currencies.
Good Trading to everyone today