Thursday 12 May 2022

The State Of Indices, 12/5/2022

SandP, last signal 35-39 SELL, 11 days, -5.95% (also, 16-20 on BUY; 35-39 on SELL; 92-96 on SELL; 218-222 on SELL; current $3935)
*comment: S and P chart is in bearish configuration. The 218-222 index support (since 2020) has been broken. That was the critical support. Rallies should be sold from now on. The downside targets $3804 then $3680 then $3495.

HUI, on 92-96 BUY (double BUY with 35-39), onpath, xxed, 81 days, +1.1% (also, 16-20 on BUY; 35-39 on SELL; 92-96 on BUY; 218-222 SELL executed today; current $254.40)
*comment: The HUI chart is still in bullish configuration but the correction was so vicious it is threatening to sell the 92-96. All my correction targets have been exceeded. The only thing left standing is the 92-96 index which aligns with the long term uptrend line. I still expect this trendline to hold, at least short term so I am a buyer with tight stops.

Nasdaq, on 16-20 BUY, onpath, xxed, 18 days, -14.76% (also, 16-20 on BUY; 35-39 on SELL; 92-96 on SELL; 218-222 on SELL; current $11364)
*comment: The chart is in a bearish configuration. The support has been breached again. The first downside target ($11404) has been hit. Time to short rallies.

Russell, last signal 35-39 SELL, 14 days, -11.47% (also, 16-20 on BUY; 35-39 on SELL; 92-96 on SELL; 218-222 on SELL; current $1718)
*comment: Russell is in a bearish configuration. The first target $1710 has been hit. Very short term I'd still expect a rally back to touch the 16-20 and test the breakdown level ($1950-2000ish) but now it is time to short rallies.

10Y yield, on 92-96 BUY onpath, notxxed(true), juxtaposed, 125 days, +87.24% (also, 16-20 on SELL; 35-39 on BUY; 92-96 on BUY; 218-222 on BUY; current 2.92%)
*comment: 10Y yield is in a true bull market. The trend support is at 2.5-2.6%ish. The bull market support is at 2% and rising. I think that the only thing that can reverse this trend is eighter the end of FED's tightening policy or an outright market crash.

XAU, 92-96 crossed to SELL (also, 16-20 on BUY; 35-39 on SELL; 92-96 to BUY 131.68/+2.87% or higher; 218-222 on SELL; current $128.01)
*comment: The bull signal ended. The price is still above the recent low and above the uptrend line. The structure is still not bearish. Short term we are very oversold so some immediate strength should be expected.

ASA, last signal 92-96 SELL, 4 days, -8.26% (also, 16-20 on BUY; 35-39 on SELL; 92-96 on SELL; 218-222 on SELL; current $18.32)
*comment: The first among the gold indices to sell the 92-96 index. It officially is in a bearish configuration now.

Bitcoin, Last signal 92-96 SELL, 5 days, -19.16% (also, 16-20 on BUY; 35-39 on SELL; 92-96 on SELL; 218-222 on SELL; current $28699
*comment: I have been stopped out of my long position that I established on the 92-96 buy signal. The price is still above the uptrend line (35Kish) but is hanging by a thread. The next level of support is around $28Kish. NEW: 28K broke as I am writing this report. Next target 19Kish.

COPX Copper miners, 92-96 crossed to SELL (in tandem with 218-222) (also, 16-20 on BUY; 35-39 on SELL; 92-96 breaking to BUY; 218-222 breaking to BUY; current $35.51)
*comment: COPX failed to hold on at the $38 level. It will take some time to turn the whole structure bearish but it will happen eventually if there is no turnaround very soon. The initial target is previous long term support at $33ish.

GDX, on 92-96 BUY (double BUY with 35-39), onpath, xxed, 65 days, +0.0% (also, 16-20 on BUY; 35-39 on SELL; 92-96 on BUY; 218-222 breaking to BUY; current $31.65)
*comment: GDX is on a strong double buy signal. 92-96 is in command but the crash has brought the price very close to the 92-96 support. If $29 cannot hold, we can see a price collapse down to $25 and further.

GDXJ, 92-96 SELL executed today. (also, 16-20 on BUY; 35-39 on SELL; 92-96 breaking to BUY; 218-222 on SELL; current $37.75)
*comment: The 92-96 true bull market has failed. $37 level needs to hold otherwise a price collapse is probable down to $26 and then $24.

GLD, on 92-96 BUY onpath, xxed, 96 days, +2.28% (also, 16-20 on BUY; 35-39 on SELL; 92-96 on BUY; 218-222 breaking to SELL; current $172.82)
*comment: GLD chart is in a bullish configuration. The correction has exceeded 61.8% Fibo retracement of the last rally. The fall needs to stop soon or this will turn ugly. The trend support is failing with the potential to sell the 92-96 index. If the fall continues the target is in $167-169 range, another 4%.

SLV, last signal 92-96 SELL, 2 days, +1.64% (also, 16-20 on BUY; 35-39 on SELL; 92-96 breaking to BUY; 218-222 on SELL; current $19.87)
*comment: SLV's 92-96 true bull signal failed. The SKI structure is already bearish and it seems that the first target is 18.5ish. An immediate turnaround would push the price above the long term support but then it will have a lot of resistance to clear before the structure changes to positive.

TIP, last signal 35-39 SELL, 26 days, -2.87% (also, 16-20 on BUY; 35-39 on SELL; 92-96 on SELL; 218-222 on SELL, current $118.61)
*comment: TIPs are in a bearish configuration. Since the price during the consolidation touched the 16-20 index it just collapsed through the support. It might be a short term low but this is an ugly looking chart. The downside target is $111ish.

TLT, on 16-20 BUY, onpath, notxxed(true), 45 days,
-13.55% (also, 16-20 on BUY; 35-39 on SELL; 92-96 on SELL; 218-222 on SELL; current $117.94)
*comment: TLT is in a bearish configuration. The last three days look like the price is trying to find some support. I think that only a change in FED's policy or an outright market crash can turn this chart around.

UCO, on 92-96 BUY, onpath, xxed, 106 days, +111.36% (also, 16-20 to NOT BUY 175.92/+6.87% or higher; 35-39 breaking to SELL; 92-96 on BUY; 218-222 on BUY; current $164.61)
*comment: UCO rally continues. A bullish triangle has been developing since the top in March 2022. The current breakout level is $170ish, and the support is $150ish. I expect the triangle to be broken to the upside signalling the start of a new leg up. The timeframe is mid-May 2022. Technically there is no serious resistance before $300. NEW: After a false breakout and then a false breakdown the price is back in the middle of the contracting triangle. To me, the price action still looks bullish.

URA, last signal 35-39 SELL, 10 days, -17.88% (double sell with 92-96) (also, 16-20 on BUY; 35-39 on SELL; 92-96 on SELL; 218-222 SELL executed today; current $19.47)
*comment: The correction of the last rally has resulted in a double sell 35-39/92-96. The price is now approaching the very long term support line that goes back to Apr 2020. If this support ($19ish) fails a serious crash is in the cards, probably down to $17 and then $13. The SKI configuration is not bullish anymore but it will take time to fully turn bearish.

USERX, 92-96 SELL executed today, run pattern in-progress 4D/1U/+0.09%perday, xxing=off_on_on (also, 16-20 on BUY; 35-39 on SELL; 92-96 breaking to BUY; 218-222 on SELL, current $10.76)
*comment: The 92-96 bull market failed. The correction is reaching close to $10.28 the mega important level that was marked at the 2016 top. Since all other options are now out of the picture the only important thing is that the price holds at this level. If it doesn't the next target area is $8.5ish. I am ready to buy but will have very tight stops. Let's see what happens.

UUP, on 92-96 true BUY, 184 days, +10.58% (also, 16-20 on SELL; 35-39 on BUY; 92-96 on BUY; 218-222 on BUY; current $27.81)
*comment: The UUP is in the true bull configuration. The price is now above the long term resistance ($27.19) and it seems it is holding. I still expect the retest of $27.19 from above but for now, the price looks strong. The longer the price is holding above this level the better chance for an outbreak that will target $33.52.

Australian XGD, 92-96 crossed to SELL (this is written after the close on 12.5.2022 Australia time) (also, 16-20 on BUY; 35-39 on SELL; 92-96 breaking to BUY; 218-222 on SELL; current $6081)
*comment: The 92-96 index sold but the overall performance of the Aussie stocks compared to the US stocks was positive. That is a good sign. Having said that all short-term and medium-term support has been broken so the picture is not rosy at all. The last and long term support is still holding and is positioned between $5600-5800. Hopefully, we do not need to hit it to find some support. I am ready to add to my positions for a short term bounce and then will reassess my long term strategy.

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