Enjoy - > A Few Good Bulls
SPX 1998 Chart
SPX 2011 Chart dated 7th of Oct 2011
SPX 2011-2012 Chart
dated 23 February 2012
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February 2012
02/23/2012
GDX - Fasten Your Seatbelt
Well, unlike Perma Bears who like to short GDX since couple of years and just recent on 16th of February suggested that short GDX is a fresh opportunity, we at OT thought otherwise last week.
CWT Member Alert suggested to BUY Miners and amongst them GDX too.
Hereunder a different perspective of reading charts
PERMA BEAR CHART
OT / CWT TRADER CHART
The GDX Weekly Chart looks very bullish to me and similar to the weekly chart of SPX back in early December. The next move should be a breakout of the blue box. $50 is the support line.
SPX Possible Scenario
Hereunder a chart with a likely scenario of the moves of S&P500 into April 2012.
A down move towards 1317 is highly likely and even a move towards 1287 is to be considered. Thereafter we shall view the breadth charts again to line it up with the possible scenario of another rally to new highs to end the rally since October 2011. My guesstimate for the summer is the usual dull market and traders should take a holiday :-) ( just kidding )
Breadth - Negative Divergences
Some CWT Members threatened me in the chatroom to post some more breadth charts or else they would place a Donate Button on OT Site. I quickly gave in and here are the charts.
NYSE Summation shows a Sell Signal !
NYSE Advance - Decline is actually pointing down. The positive is that averages are above the zero line.
NYSE Up-Down Volume is softening as well. Since early February we see some divergence to the market.
NYSE Volume Advancing Chart
Obviously the positive volume is declining
60 EMA Magnet
So far in the uptrend of late the 60 EMA in Hourly Chart has held and particpants ( dip buyers ) jumped in and buy.
Despite the fact that breadth is telling us money is leaving on rallies, the hourly shows no bearish signs
