Thursday, August 09, 2012

The 3-Year Rally: If Doesn't Have to End This Way - Or Does It?

The 3-Year Rally: It Doesn't Have to End This Way - Or Does It? 
The market's trend is set to accelerate 
August 09, 2012

By Elliott Wave International

Is it wise to forecast financial markets based on what central bankers say?
Look no further than a chart of long-term stock market prices for the answer: No major trend change ever followed any of those announcements.

Even so, the financial media spends obscene amounts of time analyzing every utterance of central bankers, especially during the past few years of global economic distress.
Elliott Wave International takes a different approach:
The positive seasonals at the end of July, beginning of August are now dissipating...Equally important, a whole host of inter-market divergences are occurring.

The Fed made their announcement today, the ECB's governing council meets tomorrow and the U.S. unemployment statistics are posted on Friday. These seem to be the main focus of the financial media. On the other hand, our focus is on the markets and in particular, the wave structure.
The Financial Forecast Short Term Update, August 1
That issue of the Short Term Update shows charts of the Dow's and S&P 500's wave structure, and it provides insightful commentary about a high-confidence near-term forecast.

The quote above mentions "a whole host of inter-market divergences." The chart below from the Aug. 1 Short Term Update reveals one of them:


The publication adds:
Each successive up leg within the push from early June has occurred with slightly lesser upside momentum...This chart, which we published Monday (July 30), shows the percentage of S&P stocks above their 10-day moving average. By this measure, the most recent rise from July 24 has been the weakest so far.
Please note that this analysis makes no mention of comments from Federal Reserve Chairman Ben Bernanke or European Central Bank President Mario Draghi.

The U.S. stock market rally that began in March 2009 is now more than three years old. Yet many experts forecast that the trend will continue higher.

You deserve an independent alternative to the conventional wisdom. See what we see in the Elliott wave pattern to learn where prices are headed from here.

Learn to Think Independently

You'll get some of the most groundbreaking and eye-opening reports ever published in Elliott Wave International's 30-year history; you'll also get new analysis, forecasts and commentary to help you think independently in today's tumultuous market.
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Eurozone Endgame

Traders,

Below is a link to an intersting video on what a Eurozone Exit may look like.  

Enjoy:

http://www.youtube.com/watch?v=Py3OOCRLYew&feature=player_embedded

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Wednesday, August 08, 2012

Elliott Wave Trading Q&A: Instruction AND Application from Senior Analyst Jeffrey Kennedy


Hear tips on technical indicators and about how to improve your trading with Kennedy's educational service.
By Elliott Wave International

"If I'm going to be able to empower my subscribers, which is what I'm passionate about, I want to teach them to do it for themselves." -Jeffrey Kennedy
Read more.
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Monday, August 06, 2012

Market Rally or Not?

With no action in August from the FOMC and only rhetoric coming from the ECB the market is starving for positive data.  Just check out this post on Zero Hedge on the baffling nature of the market this summer ...


I am personally looking to Elliott Wave Principals supported by Fibonacci confluence zones to control my trading action.

Happy Trading!!



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The Surge in U.S. Markets: "The Stage is Being Set"


Deploying the Elliott Wave Principle to analyze correlating markets is my leading tool in bringing leading indicators into my daily trading routine.  Check out the post below from Elliott Wave International and see if you can utilize the Elliott Wave Principle in increasing your probability...


The Surge Higher in U.S. Markets: "The Stage is Being Set" 

The market's main trend stays the same. 
August 03, 2012

By Elliott Wave International

Elliott Wave International has long observed that external events do not alter the dominant trend of financial markets -- not even major events like wars, natural disasters, terrorist attacks, political assassinations or any other news that makes headlines.
Now, it is true that news can sometimes have a near-term effect on market prices.
The July 26 opening bell is an example.
Dow Surges 200 Points on Draghi Comments, Jobless Claims
That's from The Wall Street Journal. The text reads:
Europe's top central banker sparked a global rally in stocks after reassuring investors the Continent's central bank would be vigilant about holding together the euro zone.... European Central Bank President Mario Draghi...said the ECB is ready to do whatever it takes to preserve the common-currency union.
The article adds that "the number of U.S. workers filing for unemployment benefits fell for the fourth time in five weeks, to a level that was far lower than expected."
EWI expected a near-term bounce in stock prices -- just one day ago.
On July 25, EWI's Financial Forecast Short Term Update said this to subscribers:
Near term, there may be a few more days of bounce. The stock market is setting the stage...
The Update went on to describe what the stock market is setting the stage for. It is not what most investors expect.
The pattern in the major U.S. stock indexes has been 80 years in the making -- which is to say, the pattern is unfolding at a large degree of trend.

You Can Be Ready for the Market Changes Ahead.

Let Elliott Wave International change the way you see the markets forever. Right now, our 50-page Independent Investor eBook is available to download FREE.
You'll get some of the most groundbreaking and eye-opening reports ever published in Elliott Wave International's 30-year history; you'll also get analysis, forecasts and commentary to help you think independently in today's tumultuous market.
Learn to think differently about the markets. Download the 50-page Independent Investor eBook now >>
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