GDXJ

 Is it finally time for gold juniors to recapture the interest of investors and speculators?

 Aside from the fact we just hit a pattern top on GDXJ, the answer seems to be a resounding, "Yes!" 

GDXJ

 GDXJ has finally started to out-perform the Venture.



 There's still some work left to do.

 

 Trend lines can ward off even the most bullish of bulls, and there are two standing in the way of GDXJ.

 There are also ruthless, manipulating Wall Street hedge funds looking to take advantage of those who are feint of heart.

 It will quite likely be the vultures on Wall Street buying up gold and gold stocks eventually.  

 Before they do, they'll want to scare as many people off as possible.

 They'll tell you it's nothing personal and strictly business, of course.

 That's what Wall Street does. 

 Bully people with other people's money, much of which comes from the American tax payer.

 Always perform your own due diligence. These are only my opinions.

When Small Patterns Fail

 Sometimes, breaking down a chart into smaller time frames provides clues to the daily direction. When patterns - no matter how small - fail to complete, it is often a sign we are in for a reversal.

 Admittedly, I missed this today until after-the-fact.

 First off, we had a nasty pre-market dump, found a bottom and reversed, as we so often do. The first bullish pattern of the day exceeded its target (green box).

 The second pattern (red box), however, fell slightly short of its intended target (it actually took two cracks at the "D"), and this set the table for the bears.

 Click on chart to expand 

Always perform your own due diligence. These are only my opinions.

The Market's Version of the Chicken and the Egg

 While the Nasdaq futures broke out to a pattern high yesterday, the ES futures failed in their mission to go along for the ride and confirm the latest version of, "The Running of the Bulls."

 Twice over the last two days the target was there for the taking and twice the ES couldn't move higher, despite what the Nasdaq had done. In fact, the ES minis couldn't even overtake the midpoint of a smaller pattern.

 Click on charts to expand

ES Futures (Ancillary Pattern)

Nasdaq Futures



ES Futures (Main Pattern)

 Generally, the S&P 500 has taken precedence over the Nasdaq. In this case, however, it would seem the Nasdaq front-ran the bank-laden S&P and left it confused and bedraggled.

 Faith in the US banking system is wavering.

 Is it any wonder we've opened a new argument about which came first?



Always perform your own due diligence. These are only my opinions.



The bears are nipping at our heels.

The market may have other ideas.

Prepare yourselves.

It's likely to be a wild ride.

Always perform your own due diligence. These are only my opinions.

Happenstance

 In my continual quest to see what's right with the markets (as opposed to the Karl Denninger's of the world who only seek out that which is wrong with the markets) I came up with this tidbit of a chart a couple of weeks ago, I found an interesting correlation between the price of gold vs the price of oil and how it all tied into the S&P 500. 

 Stop complaining and start looking. The more we look, the more we find, and even if the chart above was all happenstance, it worked.

 That's the bottom line (I think).

 

Always perform your own due diligence. These are only my opinions.

Looking for Clues

 What's wrong with the markets?

 According to Karl Denninger, no one is playing the stock market anymore but computerized, high frequency algorythm programs (aka HFT's). It's human-free.


 Karl Denninger says the markets are rigged

 I have the utmost respect for Mr Denninger .... most of the time. He has been responsible for some of the most enlightening youtube videos on trading the stock market that I have ever encountered; nevertheless, he often comes across as an individual who has simply failed to adapt to the "new world order" of trading. He seems to trade on what he thinks is right rather than what the charts are telling him. Obviously, there's a time and place for fundamental analysis, and many an astute trader has reaped the rewards based on this primary concept.

 There are times, however, when a trader simply has to "tune out" the news, look at the charts and get on with it. If the fundamentals fail (and fundamentals have failed miserably for two plus years now) either we change our approach or change our careers. Those are our only options.

 Trading is not an exact science. If it were, it would be an easy game to play. Perhaps this is why so many people take to blaming the powers-that-be on their unsuccesful trading. I've done it myself a time or two. For example, I simply could not understand why the trading methods I was taught that worked so well when I first started ceased to stop working a couple of years ago, and it was convenient enough to blame the Plunge Protection Team for my own trading ineptitude.

 But ...... failures are failures are failures! Pointing fingers at anyone other than ourselves is not going to get our money back.

 So we either deal with it or go back to being a waitress or an accountant or a ditch digger.

 That's the stock market.

 It's not supposed to be easy, despite what all those books you'll find at Chapters with the glossy covers tell you.

 Adapt or Die.

 It's the one rule of trading that isn't going to go away.

 As for Mr Denninger's assumption no one human is trading ......

 I'm trading, and if you're reading this, you probably are, too.

 Always perform your own due diligence. These are only my opinions.

Always perform your own due diligence. These are only my opinions.