• 3 hours The Feds Continue To Prop Up Equities Markets
  • 5 hours Bejing's Sway In South China Sea Is Fading
  • 21 hours Saudis Eye Billions As Stocks Get Emerging Market Boost
  • 24 hours Airbnb In Acquisition Mode Ahead Of IPO
  • 1 day Gold Hangs At $1,300 Ahead Of Fed Meeting
  • 1 day Champagne Sales Slow As European Economic Worries Grow Louder
  • 2 days Putin Signs “Digital Iron Curtain” Into Law
  • 2 days Russian Metals Magnate Sues U.S. Over Sanctions
  • 2 days Tesla Looks To Jump Into Indian Market
  • 2 days Global Banks Lay Groundwork To Re-Inflate Asset Prices
  • 3 days Homeowners Experiment With Risky New Investment Trend
  • 3 days U.S. Tech Stocks Look Increasingly Vulnerable
  • 3 days De Beers To Expand World’s Most Profitable Diamond Mine
  • 3 days Ford CEO Gets Raise After Massive Layoff Round
  • 4 days Germany’s Flirtation With Recession Could Cripple The Global Economy
  • 4 days Where To Look As Gold Miners Inch Higher
  • 5 days Google Faces Billions In Fines From European Regulators
  • 5 days The Energy Industry Has A Millennial Problem
  • 6 days Russian Banks Scramble For Sanction Loopholes
  • 6 days Gold ETFs Take A Hit After Four-Month Run
The Chatroom Cartel Running Global Bond Markets

The Chatroom Cartel Running Global Bond Markets

Eight major banks have been…

Lending: The Good, Bad, And Ugly

Lending: The Good, Bad, And Ugly

Aristotle said, “The most hated…

  1. Home
  2. Markets
  3. Other

Update to the Stock Market and Gold Mining Shares

Most people did not expect what happened on Monday morning. The futures traders took the ES down to 1830 with the cash market stabilizing at SPX 1867 in just a few minutes time. Clive Maund gets some kudos here calling for the Dow Industrials to be down a potential 1000 points Monday, but as I recall, he believed it would be a public panic, not what just happened with the futures (Good call Clive!).

This was first time I've seen my TLC indicator be off a day as it was calling for a Friday bottom. The Gann cycle low was maxed out at 16+4 TD's from the July 27 low and the 4 TD low part of that cycle was due no later than early Monday, which is what happened.

We blasted right through my IMP lower rising trend line (as shown in the chart below), which is what one would expect for Wave A of the pattern. Next, we should rally into the next Bradley turn, cycle date of August 28 to form wave 'w' of the larger wave B. Targets on the upside include 1985 and 2014 SPX. Wave 'x' should tag the mid 1850's by either Sept 14 or 17th, which should launch into the final 'y' wave top just above 'w' by or around Sept. 30- Oct 1. I'm looking for a resolution of this bear market to occur at or near 1700 SPX by Oct. 9-12.

SP 500 Chart
Larger Image

GDX was expected to make a low today near 13.94. Instead, we tagged the .764 Fibonacci support at 13.60. The pattern is very bullish going into September 1 from here. Upside targets include 17.67 and 19.22 for GDX. We'll see.

GDX Chart
Larger Image

We got caught long via SPXL Monday, but stayed with it. We will likely exit those positions Friday this week. We were short GDX via DUST and made 19.6% on that trade in 3 days. We will be buying NUGT late Tuesday for what looks to be a very promising long position in the miners.

 

Back to homepage

Leave a comment

Leave a comment