Well, we got the test once again at 4000. It was a great buy area so we lopped off another lot and just pulled it off at the 1 hr DTL. Original lot still on but doing much better.
We are trying to break back into the Daily triangle. This just shows that all this was, was a false breakout on a slightly higher scale. Remember, nothing travels in a straight line when trading. So, top of triangle at around 4400. I mentioned a long time ago that this triangle would be broken long term and when it does it will be out the top. Notice MACD positioning itself to cross up. So, 4400 and a pause when it gets there, then 4570, 4700 and eventually 4900. All long term and we will not get there overnight. Will be buying the hell out of dips.
Macd is about to cross and on the Daily in line with these Moving Averages and Stochastic combined are a deadly combination. Yea, everyone in the E/U thread were calling down, but I have finally learned to stick to my guns. I knew where this baby was going. Can anyone tell me why everyone insists on taking counter trades. Bottom line, my book says long term is up guys. Posted below is the monthly chart, can you see where the Major DTL has been tested repeatedly and held.
Ok, on the first chart we got the Daily bounce off the 200/89 SMA's. We then came back up and hit the backside of the triangle and backed off to the 38% fib level. Remember, the Long term trend is up. Down to the 4hr on VSA where we were watching the Bullish Flag, chart#2. where the final test after shakeout bar appeard and we new this thing was up for good. Now we are waiting for our first long term target to be hit at the 1.4400 area. After that we will use the same effort to get back in again. There should be some kind of retrace at that point, and retraces are opportunities.
There ya go, 1.4400 as delivered from over a week ago. Bet Majix is not laughing now. Thats how its done, you give out a good target, BEFORE THE FACT, and then it gets hit. I hope everyone is keeping their stop back because the market tried to get them last night, 2nd chart. shows the selling climax with the slightly higher volume telling us that although this was coming down, the professionals were actually buying. And, 3rd chart shows the shakeout bar after dangling the cheese I am sure they cleared out a whole bunch of stops. All together, it was a huge 160 pip stop hunt. My stop was below 4100 so I am loving it.
Ok, we got a break, albeit a very tiny one, above the Daily Triangle. I smell a rat. This thing is in limbo and this little 1hr fall on decent volumes resembles accumulation. This thing could do anything being a Thursday night. If I was to call it, I would look for a quick run back to 4435 then a little selloff tomorrow for a correction down to, and no more, the 4280 - 4230 area. We shall see. I dont look for VSA signals on Friday, I believe with the big boys backing out they could be false signals.
Ok, we got a break, albeit a very tiny one, above the Daily Triangle. I smell a rat. This thing is in limbo and this little 1hr fall on decent volumes resembles accumulation. This thing could do anything being a Thursday night. If I was to call it, I would look for a quick run back to 4435 then a little selloff tomorrow for a correction down to, and no more, the 4280 - 4230 area. We shall see. I dont look for VSA signals on Friday, I believe with the big boys backing out they could be false signals.
