Range Trading today as we begin the Holiday Markets

Today looked like a typical December trading day. Business in the morning, a lull in the afternoon, then a flurry in the last half hour of trading. At this time of year, a lot of money managers and traders are closing out their books. The next month of trading through New Years, typically, we have that pattern.
People are either not trading any more, or trading in the morning and then heading off to parties of early lunches. Typically after about 2 PM New York Time, the only people still trading are those who are losers on the day, or just have nothing better […]

Monday Morning two sided trade

Today is Monday, but its the last day of the month. So far we have had two sided trade, with highs actually being posted overnight in most of the markets. We have had a rally in bank stocks after calmer heads have seemed to prevail over the bank of Dubai mess. One thing you cant’ argue with, is at least they can’t just print the money. All they have to do is pump the oil. Seems like people realized that over the long haul, that means they’ll either get their money, or they’ll get 40 dollar a barrel oil, until the 60BB is paid off. […]

Calm Sunday Night and the Screen is Green

Crude, the Metals and the grains are all higher. Those traders who went home short on Friday’s abbreviated Holiday session were all rewarded with losses across the board, so far on this night session.
A quick re-cap follows:

Gold is up 24 at 1176.60, with a high at 1183.70 and a low at 1165.00. Last Thursday nights low at 1130.90 is a stinging reminder of what a lack of liquidity will do in a computerized model when all the black boxes try to sell at the same time.
Silver is higher currently at 18485, up 183. It has had a high at 1851 and low […]

Re-cap of Friday’s whipsaw moves in stocks and commodities

This is a brief re-cap of today’s market action. It may have been Black Friday for US retailers, but early in the AM of Friday, it looked like it might be Black Friday for US investors. The shock of The Bank of Dubai asking for a delay in its interest payments til may, on their 60BB, along with the Yen move to a new multi year high against the US dollar, were the two catalysts which set off corrections across the board in both the stock indexes and the commodities.

The bears were rewarded, if they were awake and didn’t get stubborn, with 38 […]

Much To The Dismay of the TV Anchors, The Markets Have Calmed Down

Well, all I can say is my radio news caster I regularly listen too sounds positively bummed that the melt-down, “has abated for now”… I had to laugh. But he is correct. As soon as the US woke up this morning, even with hang overs and full bellies, the return of liquidity has calmed things down.
Gold is back to 1,175, the Dow has rebounded 200 points from its lows, and while the public is out participating in “Black Monday” for the retailers (traditionally a positive item) the TV anchors have canceled plans for shots in front of the brokerage houses on Wall Street, salivating […]

Dubai Bank Creates Lots of Action on A Holiday Weekend

We have had the catalyst for a pause in the recent up move in the metals.
We posted a high last night at 1,195… just 5 bucks away from the round number 1,200. Important psychologically…What was astounding was the rapid rate of decline. Most of that was fueled, I believe, because it was a Holiday here in the US, and no one was working, ie trading these markets. That left them vulnerable to some short term fluctuations which would have been absorbed differently if there had been usual market depth.

In any event, I did a chart retracement for the Gold.

We had a near […]

Good Support Levels for DJZ and the Jan Beans

Interesting, the DJZ came within ten ticks of the 38 percent retracement of the upmove. The low so far is 10157. The retracement is 10147, and people think technical analysis is garbage?

Anyhow, in the beans, we’ve had a new low at 1025, but the retracement for SF you should look at is the following:

The Nove 23rd high was 1066 3/4. The Nov 9th low was 951 1/4. A one dollar 16 cent rally.
The first support is at 1023… Just 2 ticks off of our low so far this night session.
The 50 percent retracement is 1009. The 62 percent retracement is at […]

Retracement Support Levels For the Stock Indexes

One November 2nd we had lows in the SPZ at 1026 and a low in the DJZ at 9596. We proceeded to have a 3 week rally from those levels. SPZ posted a new 9 month high on Nov 20th at 11125.25, for an 86 handle run-up. DJZ rallied to a new 9month high on Nov 23rd at 10,486, for an 890 point run-up… Impressive. However, its now time for a correction, and tonight’s issues with the Yen and the Dubai Bank may be the catalyst the market was waiting for.
Support in the DJZ is at 10,146… 10041 and then 9931 if the wheels […]

US Holiday Contributes to Over Done Selling, Gold Bounces to 1,195

If everyone is digesting their turkey dinner, watching the third football game of the day… then no one is going to be trading.
If no one is trading, and there’s a hint of bad news, the bears can really smack these markets lower.
It 930 PM CST and I just checked the computer. I am sure I am not the only individual who did the same.

The Yen is at a 14 year high against the dollar and the Japanese Finance Minister is going to talk about currency moves over the next few days to address this issue.
The Nikkie is down about 2.8 […]

Strong Finish in Stocks, as Gold Goes for 1200 an OZ

Gold posted a new record high today at 1,192.80. If you look at my entry this morning, or for that matter for the past 6 weeks, you can see I have been calling for this move. Perhaps there will be resistance at the 1300 level, or more likely the 1250 level. This train just keeps on motoring. This is a type of move where I think to benefit fully from it, you have to buy a dip, put in a judicious stop, and then leave it alone. Have the trailing stop follow the market up, accounting for the 20 dollar to occasional 30 dollar trading […]