Repetition is the mother of learning.
I must have sounded like the broken record everyone gets tired of listening to.
Read between the lines. I was pounding the table for months that this market was going higher into 2015 and all pull backs and corrections were meant to be purchased.
We’ve made those higher prices. We will continue to make new highs possibly into the summer months.
We will of course have standard corrections along the way, and those too are recommended to be met with buying power.
Today’s market was a normal garden variety Friday snooze fest. Narrow range, light volume and little to talk about.
Next week should get the juices flowing again. The early part of the week is extremely important. We could see a continuation move higher which will be met with resistance levels provided in tonight’s video. On the other hand, there is a short term (daily) cycle due Monday. We’ll discuss what this all means during the analysis.
Crude oil continued down, found support at an obvious level and recovered most of the losses by the close of the pit session. What was the obvious level you ask? When we get to the crude oil chart in the video, you’ll see the purple line and how important it was.
Gold remains very bullish. This morning we saw a small correction and retest of the previous resistance level which is very normal behavior. What’s more is that gold quickly recovered back upward and to me, that implies nothing other than strength with higher prices coming.
Bonds finally found support and began speaking to us. While we like to catch tops and bottoms, sometimes when the risk reward is not in our favor, we settle for part of a move. There should be higher prices in bonds as it appears at least a short term bottom has been established.
Can’t say the same for the Dollar. This is one market that has a date with lower prices. The Euro remains on a breakout and the Dollar on a persistent break down. We know our targets, we know our long term plan, and we know when to and when not to put capital at risk. Until further notice, we’re not in this market right now.