S&P500 daily update - Trading the Line

Maya

A roller-coaster week in response to the holiday push above 4300 with a drop into Thursday's low at 4290 and new S/T Buy Signal triggered on 09 June at 4341.

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Making new all time highs with an impressive and very rapid move from low to high but still displaying (some) weakness in the oscillators and questioning the conviction for higher prices.

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The T volume oscillator ¹ was warning of weakness at the previous high, and is still negative and this is indicating profit-taking under the hood and perhaps a lack of conviction or participation in the current advance. However further strength and a rise upwards through the shallower cash build up line would activate another oscillator Buy Signal and suggest that the current T structure is larger or that a new structure is in development.

¹ The T volume oscillator is an indication of Buying Power within the market as a whole
² The cash build-up line is a declining line drawn above a series of lower highs made in the oscillator.

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In the weekly chart above, we can see that price continues to be strong within a rising channel established over the past year, The oscillator is however, declining and this is flashing a warning that this move may not be sustainable, much longer. The large structure, centered at the March 2020 low projects strength into Mid July and possibly into Mid September.

For now, the 4170 level is important support.

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The monthly chart continues to look excessive but the market continues higher beyond the projection for a major high from the Mega T structure, which may have completed in September 2020.

The current large structures project highs for August and/or for September 2021 and possibly longer into April 2022.

…

2021 continues with a range that has become increasingly expansive since the move above 2500. With price above 4300 we can only assume that this will continue. This is a Brave New World.

–

Regardless of whether the market can continue higher or whether significant lows are ahead of us, the simplicity of the proprietary price based S/T Signalling System will continue to keep us on the correct side of the market, with price currently back on a Buy Signal since moving above 4341 on 09 July 2021.

If you would like to learn more about using the S/T Signalling System please get in touch.

–

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 intra-day alerts when appropriate, please become a Member and Sign up for Alerts & Observations – includes access to Members Area, Explanatory Notes (pdf) for all of the concepts discussed, and Notes on Day Trading (pdf)

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.

Steve Rushton July 12, 2021No Comments

S&P500 daily update

Melle

Market gaps down significantly below the Cover Signal line, finding support at 4290 in volatile morning action and providing a platform for recovery to 4330. Selling resumed in afternoon action until a late day attempt to recover into the close but not quite enough to re-activate the Buy Signal.

A Cover Signal at 4324.

Steve Rushton July 9, 2021No Comments

S&P500 daily update

Sunniva

Another look at the all time high, pullback into 4330 and advance to slightly new highs.

Buy Signal continues.

Steve Rushton July 8, 2021No Comments

S&P500 daily update

Tanabata

A roller coaster day after the holiday weekend with profit-taking at the new all time high and closing of the recent gap.

Buy Signal continues.

Steve Rushton July 7, 2021No Comments

S&P500 daily update

Brissarthe

The market pushes higher above 4300.

Buy Signal continues.

Steve Rushton July 2, 2021No Comments

S&P500 daily update

Dominion

Market grinds higher with another push to 4300 and a volatile close.

Buy Signal continues.

Steve Rushton July 1, 2021No Comments

S&P500 daily update

Mirabilis

A gap up and look at 4300 before a slight decline.

Buy Signal continues

Steve Rushton June 30, 2021No Comments

S&P500 daily update

Tarantella

A gap up and slight decline into Friday's low is bought for a push up into new all time highs.

Buy Signal continues.

Steve Rushton June 29, 2021No Comments

FREE REPORTS S&P500 daily update

A Midsummer Night’s Dream

Love looks not with the eyes, but with the mind,
And therefore is winged Cupid painted blind.

Willam Shakespeare, A Midsummer Night's Dream, c.1595-96

…

Market making new all time highs hitting another important milestone, with money printing and infrastructure spending to the moon, 'tulip' manias and manipulation in 'meme' stocks, inflation in assets, commodities and apparent on main street…

Buy Signal continues.

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A couple of months of range trading since the high in mid April, mostly pushing at 4200 but with a few quick and nasty drops, back filling but holding above the psychologically important 4000 level. Building an upper range.

Most recently a Buy Signal at 4220 after a brief 'taper tantrum' and a straight up move into new all time highs and reaching the key level of 4280 at the end of the second quarter.

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The T volume oscillator ¹ shows the deterioration in buying power that was occurring from about 08 June whilst the market was moving into the projection for a high from the previous structures and notably from the recent DB (Double bottom) structure.

However, the subsequent rapid recovery from the selling on 18 June has now triggered a new oscillator Buy Signal with a strong rise up through the declining cash build up line ² and this now projects strength into 06-07 July from the previous oscillator high.

¹ The T volume oscillator is an indication of Buying Power within the market as a whole
² The cash build-up line is a declining line drawn above a series of lower highs made in the oscillator.

Save the image to your desktop to view a larger version

In the weekly chart above, we can see that price continues to be strong, finding support at last week's low. The oscillator is however, declining and this is flashing a warning that this move may not be sustainable. The large structure, centered at the March 2020 low projects strength into Mid July and possibly into Mid September.

For now, the 4160 level is important support.

Save the image to your desktop to view a larger version

The monthly chart continues to look excessive but the market continues higher beyond the projection for a major high from the Mega T structure, which may have completed in September 2020.

The current large structures project highs for August and/or for September 2021 and possibly longer into April 2022.

…

2021 continues with a range that has become increasingly expansive since the move above 2500. With price above 4000 we can only assume that this will continue. This is a Brave New World.

–

Regardless of whether the market can continue higher or whether significant lows are ahead of us, the simplicity of the proprietary price based S/T Signalling System will continue to keep us on the correct side of the market, with price currently on a Buy Signal since moving above 4220 on 21 June 2021.

If you would like to learn more about using the S/T Signalling System please get in touch.

–

Be prepared for what 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 as well as the new 'Notes on Daytrading' which provides insight into how to look for shorter term entries and exits within the context of the S/T Signalling System.

Steve Rushton June 26, 2021No Comments

S&P500 daily update

Firebird

An overnight push higher and token new highs.

Buy Signal continues.

Steve Rushton June 25, 2021No Comments

“Simplicity is the ultimate sophistication.”
Leonardo da Vinci

“Imagination is more important than knowledge”
Albert Einstein

“All of our days are numbered. We can not afford to be idle. To act on a bad idea is better than to not act at all because the worth of the idea never becomes apparent until you do it. Sometimes this idea can be the smallest thing in the world; a little flame that you hunch over and cup with your hand and pray will not be extinguished by all the storm that howls about it. If you can hold on to that flame, great things can be constructed around it; things that are massive and powerful and world changing. All held up by the tiniest of ideas.”
Nick Cave, 20,000 days on Earth

2026 Positions

(All numbers refer to SPX)

S/T BUY Signal at 7586 on 04 June

COVER Signal at 7554 on 03 June

S/T BUY Signal at 7413 on 20 May

COVER Signal at 7411 on 15 May

S/T BUY Signal at 6457 on 31 Mar

COVER Short Signal above 6398 on 31 Mar

S/T SELL Signal at 6543 on 26 Mar

S/T BUY Signal above 6600 at 6620 on 25 Mar

COVER Short Signal above 6567 on 25 Mar

S/T SELL Signal below 6554 on 24 Mar

COVER Short Signal above 6581 on 24 Mar

S/T SELL Signal below 6554 on 24 Mar

COVER Short Signal above 6581 on 24 Mar

S/T SELL Signal below 6554 on 24 Mar

COVER Signal at 6590 on 23 Mar

S/T BUY Signal at 6623 on 23 Mar

COVER Short Signal above 6563 at 6600 on 23 Mar

S/T SELL Signal at 6666 on 18 Mar

COVER Signal at 6693 on 18 Mar

S/T BUY Signal at 6729 on 16 Mar

COVER Short Signal above 6668 at 6698 on 16 Mar

S/T SELL Signal at 6756 on 11 Mar

S/T BUY Signal above 6826 on 10 Mar

COVER Short Signal above 6792 on 10 Mar

S/T SELL Signal at 6765 on 10 Mar

COVER Short Signal above 6772 on 09 Mar

S/T SELL Signal below 6810 on 06 Mar

COVER Short Signal above 6822 on 05 Mar

S/T SELL Signal below 6822 on 05 Mar

COVER Signal below 6849 on 05 Mar

S/T BUY Signal at 6882 on 04 Mar

COVER Short Signal above 6849 on 04 Mar

S/T SELL Signal below 6845 on 03 Mar

COVER Short Signal above 6877 on 02 Mar

S/T SELL Signal below 6850 on 02 Mar

COVER Short Signal above 6857 on 27 Feb

S/T SELL Signal at 6857 on 27 Feb

COVER Signal below 6884 at 6857 on 27 Feb

S/T BUY Signal at 6884 on 23 Feb

COVER Short Signal at 6850 on 23 Feb

S/T SELL Signal at 6837 on 23 Feb

COVER Signal at 6864 on 23 Feb

S/T BUY Signal at 6883 on 18 Feb

COVER Short Signal at 6834 on 17 Feb

S/T SELL Signal at 6888 on 12 Feb

COVER Signal at 6915 on 12 Feb

S/T BUY Signal at 6899 on 06 Feb

COVER Short Signal at 6938 on 06 Feb

S/T SELL Signal at 6901 on 04 Feb

COVER Short Signal at 6915 on 03 Feb

S/T SELL Signal at 6915 on 03 Feb

COVER Signal at 6942 on 03 Feb

S/T BUY Signal at 6968 on 02 Feb

COVER Short Signal at 6938 on 30 Jan

S/T SELL Signal at 6910 on 30 Jan

COVER Signal at 6940 on 30 Jan

S/T BUY Signal at 6934 on 29 Jan

S/T SELL Signal at 6907 on 29 Jan

COVER Signal at 6934 on 29 Jan

S/T BUY Signal above 6905 at 6923 on 22 Jan

COVER Signal at 6849 on 21 Jan

S/T SELL Signal below 6894 at 6843 on 20 Jan

COVER Signal below 6925 at 6843 on 20 Jan

S/T BUY Signal at 6961 on 15 Jan

COVER Signal below 6934 at 6925 on 14 Jan

S/T BUY Signal above 6890 at 6900 on 05 Jan

COVER Short Signal at 6864 on 02 Jan

S/T SELL Signal at 6837 on 02 Jan

Mission

It has been my Mission to create a simple but effective method for investing in the stock market, so that I would always know what to do regardless of the circumstances.

The result is a rigorous system which allows the market to tell you what to do, when to Buy, when to Hold, when to Cover, and when to Sell, and it removes the need for you to have any opinion whatsoever.

And so, I present to you the diary of my personal trading system, and a record of the signals that it is producing. You are welcome to follow me along but please understand that the information posted here is for entertainment 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.

Please sign up for my occasional FREE REPORTS and if you would like to find out more and receive my email alerts and more detailed observations, please SIGN UP HERE

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“In the end, I’m not interested in that which I fully understand. The words I have written over the years are just a veneer. There are truths that lie beneath the surface of the words... truths that rise up without warning, like the humps of a sea monster and then disappear. What performance and song is to me is finding a way to tempt the monster to the surface, to create a space, where the creature can break through what is real and what is known to us. This shimmering space where imagination and reality intersect... this is where all love and tears and joy exist. This is the place. This is where we live.”
Nick Cave 20,000 days on Earth

“If you're going to try, go all the way. Otherwise, don't even start. This could mean losing girlfriends, wives, relatives and maybe even your mind. It could mean not eating for three or four days. It could mean freezing on a park bench. It could mean jail. It could mean derision. It could mean mockery--isolation. Isolation is the gift. All the others are a test of your endurance, of how much you really want to do it. And, you'll do it, despite rejection and the worst odds. And it will be better than anything else you can imagine. If you're going to try, go all the way. There is no other feeling like that. You will be alone with the gods, and the nights will flame with fire. You will ride life straight to perfect laughter. It's the only good fight there is.”
Charles Bukowski, Factotum, 1975

>“The mind is a glass floor.
The mind is the spirit’s tear.
The mind is our prior and subsequent ghost.
The mind is the Bullion Express and the blood on the tracks.
The mind is a stone door.
The silver on the backs of mirrors.
The wave that defines the coast.
It’s what the drunk grave robbers couldn’t stuff in their sacks.
The mind is the sum of all and more.
The spasm between one and zero in the Calendar of Black-Hole Years.
The contract between the lash and the whipping post.
A quilt of dreams stitched with facts.
A meaningless argument among whores.
Rain that keeps falling when the sky clears.
A masquerade party, guest and host.
A candlelit landscape of puddled wax.
The mind is what thought is for.
The parking lot at the Mall of Fears.
The fire-pit for the piggy roast.
What the soul surrendered and won’t take back.
The mind is neither either nor or.
The real center of an empty sphere.”
Jim Dodge, Stone Junction, 1990

“The war is not meant to be won, it is meant to be continuous. Hierarchical society is only possible on the basis of poverty and ignorance. This new version is the past and no different past can ever have existed. In principle the war effort is always planned to keep society on the brink of starvation. The war is waged by the ruling group against its own subjects and its object is not the victory over either Eurasia or East Asia, but to keep the very structure of society intact.”
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“There was a student... just the other day... who said that my problem, if one's nature is a problem, rather than just problematic, is that I see things in terms of victory or death, and not just victory but total victory. And it's true: I always have. It's either victory, or don't bother. The only thing worth doing is the impossible. Everything else is gray. You're born... as a man... with the nerves of a soldier, the apprehension of an angel, to lift a phrase, but there is no use for it. Here? Where's the use for it? You're set up to be a philosopher or a king or Shakespeare, and this is all they give you? This? Twenty- odd years of school which is all instruction in how to be ordinary... or they'll fucking kill you, they fucking will, and then it's a career, which is not the same thing as existence... I want unlimited things. I want everything. A real love. A real house. A real thing to do... every day. I'd rather die if I don't get it.”
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