Monday, 8 September 2014

10am update - opening minor chop

US indexes open a touch weak, but with no downside power, equity bears are powerless... this market looks set for continued broad upside. The bigger weekly cycles are now offering the 2030s in the immediate term. Oil is weak, -1.7%


USO, daily


The upper bol' on the weekly cycle is now in the low 2030s. Certainly, that looks a valid target..whether later this week or next.... makes no difference.

It is also notable, we now have a fourth consecutive green candle on the weekly 'rainbow' chart, and unquestionably..this remains a powerfully strong market.

First key support.. weekly 10MA in the 1970s... but that looks unlikely to be hit until October... and from higher levels.

Metals are turning lower...  Gold -$7,.. and that is really hurting the miners, GDX -2.4%. In fact, GDX is about to break the 200 day MA today... $24.30s. Ugly weekly/monthly outlook.