If the recent developments in the markets hold and fear dissipates, I think a play on Hang Seng index would be terrific opportunity. To be sure, I am still expecting a slight pull back to around 18500. This index is peculiar in the sense it has some good correlation with China but is not as violent as CSI index. For someone with high risk appetite, this should...
All I care about here is that green dotted resistance line. Once we can get a 30 mn candlestick to close above that line then we can setup a long trade. If the candle never closes above I don't to trade it. Heres why I think this has a chance at rallying. 1) Closed red on the year just a few days ago, first time in a long time. 2) Sentiment in market is fearful,...
Markets poised to crash. Major market reversal expected. VIX will rally strongly.
Fear spikes from lows. The markets are toast. Major support levels broken on big volume. VIC Falling Wedge breaking out to upside. Big volume.
As we all know the EUR and the JPY are both weak currency (QE and QQE), but here is where the risk on/off may play a big role, in this case they are one opposite to the other. I believe a risk off type of investment is just around the corner and so this cross could play very well. Technically a big reversal pattern is on its way, we are already in the first area...
As you could remember during the last Greek crisis the Bund Yield fell even to negative territory, this was due the haven factor in the biggest economy in EZ Now that every body says that the situation is much better than in the 2012 the Yield (as you can see in brown, remember that the price of Bund is inverse to it's yield) is even lower. Why? The mail reason...
As the charts begin to turn more bearish, we are forced to look for some sign of a turnaround. The trend, which has been going on for over a year, appears to still be intact. I expect that we will either form a double bottom as we did back in 2011 (I will link to an interesting chart by lowstrife that caught my attention), or we will have one final leg down to...
You really have to be careful when you see a new pattern forming because that pattern may simply be swallowed up by an even bigger pattern. As we can see here, there was a descending triangle that looked completely valid up until the point that it was invalidated. However, you'll notice it never actually broke through support. This is why it's important to take...
After the sad events that took place yesterday we saw a 30% rise in the VIX. For me this is confirmation of fear in the markets as smart money buy VIX options as a hedging strategy. I will most likely be staying out of the markets until things calm down but if something else significant does happen I will be looking at gold trades.