"exchange-traded funds tracking government debt, corporate credit and equities have now risen in unison for four straight months. It’s the longest stretch of correlated gains since at least 2007. "
https://www.bloomberg.com/news/articles/2024-08-30/once-in-lifetime-wall-street-rally-raises-soft-landing-stakes
Buy the dip. Buy the dip. Buy the dip. This is bear abuse, and it has to stop. One day it will. But I don't think that today is the day. Let's look at the 2 hour bars of the ES for perspective. Does this look bearish to you?
Not one bit. In fact, if this breaks out topside, it will complete a massive bottom at a top that would imply much much higher prices ahead. The Market Still Blows
Here's our usual hourly look for the day to day Action Jackson Hole Expectoration Adoration Abomination. The number it needs to beat for a breakout is 5650. If it does, then it will get to 5675 in a heartbeat. Clearing that would yield 5720. In one day? Sure, if it gets through that first line of da fence.
And what might be needed for any downside excitement. Break 5584 for starters. But there's more spport at 5559. Watch out for dippers at both levels however.
From the Department of BTC Leads But Not Necessarily, look at this picture and see what you want. But I heard that BTC is going to 97 million zillion.
I think that the real reason for these air pockets that have developed this week is the requirement for the market to absorb the enormous bond issuance today and Tuesday.
The liquidation needed to do that has shown up in both stocks and bonds. I think the effect will continue to be more pronounced in the bond market, as illustrated by the 10 year yield, 2 hour bars.
Gotta break 3.90 to get a really bearish upside yield move going.
The hourly chart of gold is at an interesting infartion level. Gold’s Most Important Point
For the big picture and longer view, subscribe to Liquidity Trader!
For moron the markets, see:
Gold’s Most Important Point August 29, 2024
Swing Trade Screen Picks – Short Inundation August 28, 2024
Liquidity Still Supports the Rally, But with Warnings August 27, 2024
The Market Still Blows August 26, 2024
Liquidity Now Hinges on Mood August 19, 2024
Bits and Pieces- Why What Was Bearish is Now Bullish August 15, 2024
Tax Collections Were Worse than the Jobs Report But… August 5, 2024
If you are a new visitor to the Stool, please register and join in! To post your observations and charts, and snide, but good-natured, comments, click here to register. Be sure to respond to the confirmation email which is sent instantly. If not in your inbox, check your spam folder.
And the Computer "AI" just finished the Champions League draw for Europe.......⚽
Due to the "New and Improved Format", think $$$$$, they could not do
the usual Ping Pong Ball draw.......
The new format is so complicated that it would have taken over three hours and require 1,296 balls. (ESPN)
that my friends is progress.........not to mention $$$$ again......
For perspective, the 2 hour bars. Me so bullish. BTW, 2-3 day cycle projection now 5660. Swing Trade Screen Picks – Short Inundation
For the big picture and longer view, subscribe to Liquidity Trader!
For moron the markets, see:
Gold’s Most Important Point August 29, 2024
Swing Trade Screen Picks – Short Inundation August 28, 2024
Liquidity Still Supports the Rally, But with Warnings August 27, 2024
The Market Still Blows August 26, 2024
Liquidity Now Hinges on Mood August 19, 2024
Bits and Pieces- Why What Was Bearish is Now Bullish August 15, 2024
Tax Collections Were Worse than the Jobs Report But… August 5, 2024
If you are a new visitor to the Stool, please register and join in! To post your observations and charts, and snide, but good-natured, comments, click here to register. Be sure to respond to the confirmation email which is sent instantly. If not in your inbox, check your spam folder.
You want to know what chaos and anarchy will look like.
The day all the phones and computers convert their spellcheck to Lee’s version of word phonology, called Adlerisms. Many will be confused by the new spelling and sounds of once popular words and phrases. AI trading models will become confused and erratic and begin to trade on a fractional moving average basis. Common technical analysis will become worthless as the bots use computerized hieroglyphics to mask trades from other bots using encrypted computerized hieroglyphics. Quantum computers will flush bulls and bears stop orders in nano seconds. Collecting an endless stream of wealth and income to support its Skynet operation. Machines will take over the world and issue commands in a modern encrypted Adlerism dialect. Humans will have no choice but to go long NVDA at 100x sales.
Since this happened over night in the after life,
was there really a trade for most people......(buy the dip, etc.)
>: kinda odd that the NVDA and the Naz, move back up,
but Dollar General, not so much......although it is trying, too.
Gold’s Most Important Point 8/29/24
Lee Adler 3 - Gold Trader August 29, 2024
Gold could top out here. The 13-week cycle projection has been reached in the expected time frame. xxxx is projected resistance. Short-term cycles are due for down phases lasting a week or two. If the price drops under xxxx in this period, then this could be a bigger top. If it holds above that, a subsequent breakout would suggest that the 10-12 month cycle will remain in trending mode with the long-term trend strengthening, leading to xxxx xxxx xxxx. Non-subscribers click here for access.
Subscribers, click here to download the report.
Try Lee Adler’s Gold Trader risk free for 90 days!
This is ridiculous. There have been more false breakdowns lately than I can remember. The new technical rule is: When stocks break support, buy.
Which is, of course, the opposite of the old rule.
It's the bots and the AI, AI, AI. They're doing this. Everything is random, or made to look random. The 4 day cycle low came 4 hours later and 40 points lower than I thought. Good for a great shakeout, or shakedown, whatever the case may be.
How are we supposed to trade this? Well, if we had drawn the correct channels, the drop did stop at the exact convergence point of two trendlines dating back to the early August low. So there's that.
Now the up phase. Resistance is around 5619 in the opening hour in New Jerk. Spport is around 5588. Given that this is early in a 4-5 day cycle up phase, I'll take breakout for 5630, Alex. It's not much, but it's all I got right now. If they get through that, let's talk.
Swing Trade Screen Picks – Short Inundation
Meanwhile, in the Department of Does BTC Lead? The answer is sometimes. It led on the way down, but not on this bounce. When something works sometimes, but not others, it's not helpful. Seems to be how TA in general is going these days. But the search for eternal truths goes on. Maybe it's that all is random as opposing trading bots duke it out as they synthesize all available knowledge, and some that isn't available, to gain an edge against the other bots.
Over on the fixed income side, the 10 year yield has reached perfect equilibrium at 3.83. No further trading is necessary as the Primary Dealers arrange for the market to swallow a gargantuan issue over the holiday weekend. Liquidity Still Supports the Rally, But with Warnings
For the big picture and longer view, subscribe to Liquidity Trader!
For moron the markets, see:
Swing Trade Screen Picks – Short Inundation August 28, 2024
Liquidity Still Supports the Rally, But with Warnings August 27, 2024
The Market Still Blows August 26, 2024
Liquidity Now Hinges on Mood August 19, 2024
Bits and Pieces- Why What Was Bearish is Now Bullish August 15, 2024
Tax Collections Were Worse than the Jobs Report But… August 5, 2024
If you are a new visitor to the Stool, please register and join in! To post your observations and charts, and snide, but good-natured, comments, click here to register. Be sure to respond to the confirmation email which is sent instantly. If not in your inbox, check your spam folder.
