key reversal levels for week of october 13, 2014
DESCRIPTION
Weekly key reversal levels for stocks, gold and currencies. Including my weekly comments on the state of the markets. Trend following method keeps you on the right side of the market most of the time, and helps to avoid big losses on investments.TRANSCRIPT
Key reversal levels for week of October 13, 2014
Nasdaq and S&P 500 have entered weekly bearish mode with downward MoM.
This leaves Nikkei as only major index that is still weak bullish, but also very close to dropping below its weekly key reversal level.
Bonds (TLT) are fully bullish with upward MoM.
Gold, Euro and Oil continue to be in weekly bearish mode with downward MoM.
Most markets are testing key targets (see page 5)
Weekly keys:
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Daily MoM is down for all major stock indexes, so it is too early to declare an end to recent pullback.
Bonds remain in rally mode, making for a possible double top.
Gold , EURUSD are weak bullish, may have ended their recent slide.
Oil remains fully bearish with downward MoM
Comment: A sea of red, except in bonds. We just wait for buy signals, which will come sooner or later.
Daily keys:
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Weekly sell signal for Dow Industrials, Semiconductor sector, Social Media sector, Spain and Switzerland
MoM is now down for all markets except China.
Markets to watch, coming very close to weekly key reversal: Mexico and Vietnam.
Comment: Most markets now bearish with no signs of a bottom. This is a time to be patient.
Weekly keys for World markets and sectors:
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Sell signals for BA, CSCO, IBM, MMM and V
16 stocks bullish, down from 21 last week. Below 20 = struggling bull market. See: Keeping an eye on the Dow stocks
Comment: a quick deterioration in Dow stocks with only 16 stocks remaining bullish. A few other stocks are only barely holding above their weekly key levels, so by next week we could have less than 15 bullish stocks. And that hasn't happened for a long time. We wait and see.
Weekly keys for the 30 Dow stocks:
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A new Bottom2 target for EURUSD at 1.2141
Nasdaq, FTSE100 and DAX are all testing their Bottom1 targets.
Bonds have reached their Top1 target.
EURUSD and Oil also testing their Bottom1 targets
Comment: With so many markets at or near Bottom/Top targets we can get sudden turnarounds in all these markets. Watching these levels carefully next week.
Key target zones:
Legend* = new or updated target
Note: we use a +/-1% zone around these targets.
These key target zones are a by-product of the key level calculations.
When a key target is reached the market will typically react and turn back from it. On the second or third attempt the target gets finally broken and then the next target comes into play. So these key target zones can be used as price objectives for taking profits or for entering the market after a significant sell-off. They can be seen as a kind of pivot points.When MoM indicator reverses right near a key target it is very likely that the market has reached a temporary peak (or bottom).
For more details about these key targets, see: http://lunatictrader.wordpress.com/2013/08/20/key-target-levels/
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More details about the key reversal levels and how to use them in your trading can be found here: http://lunatictrader.wordpress.com/key-reversal-levels/
Blog: http://LunaticTrader.Wordpress.com
On Twitter: http://twitter.com/lunatictrader1
On Scutify: http://www.scutify.com/profiles/scutifier.aspx?q=LunaticTrader
On Stocktwits: http://stocktwits.com/LunaticTrader
For daily key levels, regular market commentary or questions you are welcome to follow or contact us here:
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Disclaimer
Investing in stocks, forex or commodities is risky. No guarantee can be given that the opinions or predictions given in this presentation will be correct.LunaticTrader cannot in any way be responsible for eventual losses you may incur if you trade based on the given information.Simulated trading programs in general are subject to the fact that they are designed with the benefit of hindsight.No representation is being made that any account will or is likely to achieve profits or losses similar to those shown.
Trade at your own risk and responsibility.
More details about the key reversal levels and how to use them in your trading can be found here: http://lunatictrader.wordpress.com/key-reversal-levels/
Blog: http://LunaticTrader.Wordpress.com
On Twitter: http://twitter.com/lunatictrader1
On Scutify: http://www.scutify.com/profiles/scutifier.aspx?q=LunaticTrader
On Stocktwits: http://stocktwits.com/LunaticTrader
For daily key levels, regular market commentary or questions you are welcome to follow or contact us here:
© LunaticTrader.com
Disclaimer
Investing in stocks, forex or commodities is risky. No guarantee can be given that the opinions or predictions given in this presentation will be correct.LunaticTrader cannot in any way be responsible for eventual losses you may incur if you trade based on the given information.Simulated trading programs in general are subject to the fact that they are designed with the benefit of hindsight.No representation is being made that any account will or is likely to achieve profits or losses similar to those shown.
Trade at your own risk and responsibility.