Gold (GC) Divergence 6/8

Here we have the 4 hour chart of gold and can see lots of divergence forming (shown in purple) on the recent rebound from its sell off in early May. After its most recent peak it seems to have sold off right into the top part of the retracement channel of the May sell off (@1532). I think if we solidly break below this level, we can see gold get back to the very low 1500s in the near future and for now stay in this area. I've already entered this position feeling its low risk and high reward at this point.

EUR/USD Divergence Sell Update 6/8

Originally we showed some signs of divergence in the euro etf (FXE) and suggested a sell Monday, well as it turned out it pushed higher and formed even more divergence which we pointed out right before bernake opened his pie hole, which gave a great opportunity for a small fade into the position. You can see between Monday and Tuesday we formed divergence on the actual spot pair (divergence shown in purple), which realized a good sell off into our first support at previous lows Monday night (@1.455) and also the first retracement level shown in yellow. I'm taking off my fade at this level, and looking for us to break lower into the yellow retracement channel.

Nasdaq (NQ) holding resistance turned support 6/8

the Nasdaq index on Monday broke what looks like very strong support around the 2278 mark. It was almost certain we would at least come back and test it going up before heading further, and the question was would be if it could hold and keep us moving down over the next couple days and it looks like it clearly has. We are now quickly moving past this level and if we close near lows today, I see no where for it to stop till we get to the 2200 level

Another Chance to Sell WTI Crude Oil? 8:20AM CST 6/8

(Chart 1 - WTI Crude Daily Chart Zoom)

(Chart 2 - WTI Crude Daily Chart)

Opec can't reach an agreement and oil rallys right into resistance.

I call bullshit and look to sell this on a technical basis

see my previous post here

FXE (Euro ETF) Update 6/7

In the previous post I had said it looked like this was ready for a short opportunity, of course not listening to my own advice I said its probably best though to wait for a confirming candlestick signal for your entry, and this is what I get for that. We see the euro has risen almost a full cent overnight, but were seeing more divergence forming again, and while it might not be done, the longer it diverges usually the faster and more dramatic the resultant move ends up being. With no real news today and Bernake set to speak in the afternoon, I could see it being more than possible that what happens off him blabbing might decide if we see a signal this afternoon or not.

Nasdaq (NQ) S&P (ES) Dead Cat Bounce? 6/7

It looks like both the nasdaq and s&p are working on a dead cat bounce off a hard sell off yesterday (also the other US equity indexes, just not shown). We see they are approaching important previous low's and bottom of the up move's retracement channel shown in purple (shown on a daily chart in my previous post) We also see continuation divergence between price and the MACD in both charts shown by the yellow trend lines. I think these levels are important to stop at if these markets are to continue down right now, otherwise a retrace of last weeks sell off might be in order.

WTI Crude Oil - Bullish Channel Downward Break 7:00AM CST 6/7

(Chart 1 - Crude oil daily chart zoomed)

(Chart 2 - Crude oil daily chart)

Having rejected 100 yesterday and sold hard into and just through the light blue up channel, we have the high of the current session at just under this light blue channel line.

This line will now be ultimate resistance for crude shorts

any close back into this channel and the shorts need to cover I would say.

I would target 95.50

(Note: I am looking to add to my current short crude exposure if it rallys at all near this 99-100 level today)