As previously discussed, the Money Flow Ts show an early February turn date for:
Dollar = low
Volatility = low
Volatility = low
Euro = high
Gold = high
S&P = high
Junk Bonds = high
If the Money Flow Ts are accurate, then strategically a leveraged ETF in gold or silver is likely to outperform most other ETF alternatives.
However, there are some individual stocks I would like to highlight that also show Money Flow T tops in the February time frame. Each of these stocks has the potential for enormous gains between now and February if bought on a pullback.
As always, please manage your risk.
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Posts
Parker………..
ReplyDeleteAs usual thanks for all your work and time……….and happy Holidays to ya! On a side note it is interesting to note that the grain and stock market cycles are much the same with the grain Gann cycles being truer as they have not had inversions!
It might help to look at JJG.........
ReplyDeleteParker,
ReplyDeleteThanks for sharing!
What happened to the Nov 8 top, Dec 8 top and/or Dec 10 top? Are those counted as success or failure or delayed?
ReplyDeleteWhat happened to the VIX sell signal? The HKSAX sell signal? The Extreme bullish sentiment? FAGIX sell signal today? Hinderburg omen? What happened to all the bearish divergences on so many indicators? What about the plunging JNK, t-notes and t bonds?
Look folks, the market is at extreme juncture. All of those bearish signals are valid and essentially remain in effect. What we have here is basically a textbook case of overbought, overvalued, extreme bullishness with a rising yield pressure. That has historically ended in tears for the bulls.
When you have a divergence, you wait for the market to move to converge. Today appears to be the beginning of that convergence. It may keel over from here or it may yo-yo a bit driving both bulls and bears freaking nut, before collapsing, per historical pattern.
I added to my short positions today. My first position is a SPY Jan 124/117 Put spread. My second short position is a SPY Feb 123/115 Put spread. My girl friend is warning me not to go crazy with the puts. LOL
Good luck to all.
SC
ReplyDeleteYou are right. Lots of indicators suggest we are due for a major correction of at least 7-10% in equities.
As I noted in the blog post today called "The Big Question", the question is "WHEN"?
OPEX craziness and the tax cut extension getting bogged down in the House are two factors that could cause a major sell off sooner rather than later.
No one has a crystal ball. We are currently experiencing some weakness in equities the last two days. We'll see how long the weakness lasts, and how deep it cuts.
If I get the sense that the weakness is over before year end, I will position myself long for the next run in gold and equities that is projected to end in early February.
That 7-10% correction could well occur from mid-February to mid-March.