Posts by Steve Rushton

The market continues the gentle drift sideways and slightly lower in holiday trade.

Be prepared for whatever is coming next, and trade with confidence:

To receive detailed daily analysis, guidance and the updated daily Buy / Sell trigger levels being generated by the Trading the Line system before the market opens, and intraday alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area and the Explanatory Notes for all of the concepts discussed.

Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

 

"Many years ago there came to the Island a beautiful woman of the fairy people. She went all through the land, and wherever she appeared she put such enchantment on the men, by her beauty and her wonderful attractive powers, that they one and all left their work and their homes to follow her. When she had them all collected in this way, she led them across an apparently shallow ford in a wide river. She herself went across almost dryshod, but when her followers attempted the fording, the river rose in fury and drowned nearly all of them. Upon this the survivors, brought to their senses by the disaster, gave chase to the woman, seeking vengeance upon her; but she, laughing in mockery, changed herself into the shape of a wren and flew away. Some say that this particular wren was the first to be hunted, killed, and carried round for exhibition, others that the actual witch-woman escaped; but it is generally believed to be in memory of this event that the wren is hunted and carried annually."

– Wikipedia – the Celtic Tradition of Hunting the Wren on St Stephens's Day, the 26th December

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The market continues to consolidate its recent gains with a slight downwards tilt. Still well above the Buy Signal line.

Merry Christmas everyone…

Be prepared for whatever is coming next, and trade with confidence:

To receive detailed daily analysis, guidance and the updated daily Buy / Sell trigger levels being generated by the Trading the Line system before the market opens, and intraday alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area and the Explanatory Notes for all of the concepts discussed.

Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

 

A change of speed, a change of style
A change of scene, with no regrets
A chance to watch, admire the distance
Still occupied, though you forget

Different colors, different shades
Over each mistakes were made
I took the blame

Directionless so plain to see
A loaded gun won't set you free
So you say

We'll share a drink and step outside
An angry voice and one who cried
'We'll give you everything and more
The strain is too much, can't take much more

Oh, I've walked on water, run through fire
Can't seem to feel it anymore
It was me, waiting for me
Hoping for something more
Me, seeing me this time
Hoping for something else

– Joy Division, New Dawn Fades, 1979, (Bernard Sumner, Ian Curtis, Peter Hook, Stephen Morris)

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The market rises into a second attempt at the recent all time high to mark an echo high on the Winter Solstice prior to the Christmas break.

With just a few holiday trading days left of 2017 – a truly amazing year – I will be taking a few days away from the market to reflect with gratitude upon the lessons that we have learnt, in preparation for the task of navigating through the next year.

Wishing Seasonal Greetings to all of my readers and subscribers.

Be prepared for whatever is coming next, and trade with confidence:

To receive detailed daily analysis, guidance and the updated daily Buy / Sell trigger levels being generated by the Trading the Line system before the market opens, and intraday alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area and the Explanatory Notes for all of the concepts discussed.

Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

 

In the Northern Hemisphere we have the mid-winter Solstice – a time for celebration, relaxation and meditation on our place in the universe.

The market grinds away near the highs, displaying some resistance to the higher price levels and potentially defining some declining resistance from the high.

Today brings with it another scheduled echo high, and after an echo high we do have a tendency to see some weakness.

Be prepared for whatever is coming next, and trade with confidence:

To receive detailed daily analysis, guidance and the updated daily Buy / Sell trigger levels being generated by the Trading the Line system before the market opens, and intraday alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area and the Explanatory Notes for all of the concepts discussed.

Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

 

A decline into the previous day's gap, which should ease some of the pressure of the higher prices and could perhaps initiate a consolidation phase at this level.

The Buy signal continues as price catches up with itself – note how steeply the averages are now moving.

As we have 2 small T structures combining strength, it seems sensible to consider them as a combination. The 2 lows are not dissimilar in price and at a similar oscillator level – we can consider this to be a double bottom – and so if we centre this structure on 03 November we can see some correlation with the previous peaks, and it projects high in early and late January.

Yesterday the market seems to have responded to the complacency as warned by the Put/Call ratios with some mild selling, and traders quickly respond with demand for hedging products as the VIX rises. Be prepared for more consolidation as traders lock in the profits at the higher levels acheived this week.

The market continues to look a bit dangerous and may need some really volatile days ahead to re-set the perhaps slightly over bullish and exuberant nature and reduce some of the growing pressure that the higher price range has brought.

Be prepared for whatever is coming next, and trade with confidence:

To receive detailed daily analysis, guidance and the updated daily Buy / Sell trigger levels being generated by the Trading the Line system before the market opens, and intraday alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area and the Explanatory Notes for all of the concepts discussed.

Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

 

Another huge gap up and closed near the highs as the market continues to play catch me if you can and playing havoc with anyone holding short positions, as we edge closer to the upper extreme reaches of the channel.

Be prepared for whatever is coming next, and trade with confidence:

To receive detailed daily analysis, guidance and the updated daily Buy / Sell trigger levels being generated by the Trading the Line system before the market opens, and intraday alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area and the Explanatory Notes for all of the concepts discussed.

Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

 

Another gap up and go day – a signature of this relentless market.

Friday's development is a significant move up in the T volume oscillator – a one day 64 point rise indicating an overwhelming demand for the market, and taking the oscillator beyond all of its 2017 highs.

We should take note of this phenomena because this is potentially re-activating the very long cash-build up that goes right back to the oscillator high on 08 December 2016, allowing for the continuation of a much larger T structure that would support an advance to much higher levels. IF we need a reason for buying at these high levels, IF we still need to see the market as cheap rather than expensive, then this is the reason.

However, we should also be prepared for the counter viewpoint: the market is becoming increasingly unstable and dangerous, the daily range is widening, and we may be closer to a blow-off top now than we have been all year.

Only price action can help us determine which is correct, and the S/T signalling system is the only method that I have that will keep us on the right side of the market. As long as the market trades above the S/T Buy signal level we are (relatively) safe to continue Buying, if we close below that level we should protect our positions because the market is becoming (more) dangerous.

Be prepared for whatever is coming next, and trade with confidence:

To receive detailed daily analysis, guidance and the updated daily Buy / Sell trigger levels being generated by the Trading the Line system before the market opens, and intraday alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area and the Explanatory Notes for all of the concepts discussed.

Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

 

Some mild profit-taking, in-line with the projection for an important high yesterday as the market struggles a little with 2670.

The T volume oscillator turns negative.

With the market still well above its averages, the buy signal continues for now, and some kind of consolidation and absorbtion of the recent price discovery seems likely.

Be prepared for whatever is coming next, and trade with confidence:

To receive detailed daily analysis, guidance and the updated daily Buy / Sell trigger levels being generated by the Trading the Line system before the market opens, and intraday alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area and the Explanatory Notes for all of the concepts discussed.

Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

 

The warrior code. The delight in the battle, you understand that, yes?
But also something more. You understand there is something outside yourself that has to be served.
And when that need is gone, when belief has died, what are you?
A man without a master.

– Ronin, 1998, Dir: John Frankenheimer

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A token new high and some selling into the close, a pulse high.
And today we have another important projection for a high from the large(r) T structure and this could complete another sequence. As you can see, this blue structure has pin-pointed most of the important highs within one or two days.

However, momentum and breadth – indicated by the T volume oscillator – still look very strong, and the smaller structures continue to support a continued advance. We shall see if the shorter term structure and seasonal strength is enough to hold this relentless market up into Christmas.

Be prepared for whatever is coming next, and trade with confidence:

To receive detailed daily analysis, guidance and the updated daily Buy / Sell trigger levels being generated by the Trading the Line system before the market opens, and intraday alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area and the Explanatory Notes for all of the concepts discussed.

Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

Dance me to your beauty with a burning violin
Dance me through the panic till I'm gathered safely in
Lift me like an olive branch and be my homeward dove
Dance me to the end of love

– Leonard Cohen, David Campbell, Dance Me to the End of Love, 1984

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Another high as party girl moves higher, finding some resistance to the prices above the rising line but still looking very comfortable.

Today brings in a pulse high, and tomorrow we have another projection from the large(r) T structure from the late April momentum peak after the French election.

Relentless, aint it?

If you need to understand why, please go back and read September's Free Report – September Seventeen – which discussed the important Buy Signal that at that time revealed the potential of a very large T structure which continues to be active.

Be prepared for whatever is coming next, and trade with confidence:

To receive detailed daily analysis, guidance and the updated daily Buy / Sell trigger levels being generated by the Trading the Line system before the market opens, and intraday alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area and the Explanatory Notes for all of the concepts discussed.

Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.