Tuesday, 9 December 2014

2pm update - a typically stupid bounce

US equities have seen a rather extreme (but not entirely surprising) bounce... with some indexes (R2K, Nasdaq) even turning positive. Metals are holding strong gains, Gold +$26... with Silver +4.3%. Oil is battling to hold minor gains, +0.3%




.. and this kind of bounce is why I've ZERO interest in meddling in the short side. I've no patience for this kind of market... at least from a bearish perspective.

Despite the strong bounce, the smaller 5/15min cycles are now clearly over-stretched.. and should see renewed weakness into the close. Next target remains 2020/15.... with a slightly bigger target of 2000 by next weeks FOMC.

Notable gains, the miners... ETF of GDX +6.4%.. but still lurking around the old busted support of $20

2.18pm.. Approaching typical turn time of 2.30pm.... just need a break <2050.. and the door is wide open to renewed weakness... all the way into the close.

Notable gains.. oil/gas drillers.. RIG/SDRL, both higher by around 4%... but price action remains VERY unstable. They were +4% in the morning.. only to lose almost all the gains... and having now reclaimed them again. Crazy action!