Trading the Line

Black Cat

The market re-runs the script with a move higher sold heavily through the S/T Sell Signal line at 2729 into another deep low at 2685.

High levels of realised volatility continue to impact as rapid advances are sold back into, in characteristic bear market action.

The current T structure is collapsing into a more complex structure with some potential projections for lows coming into focus in the days ahead.

As with the late October low, the market needs to close at or near to the highs of the day prior to any serious attempt to move higher again.

An unstable and dangerous market that is at a level acheived for the first time just over a year ago. The potential for further downside is still huge.

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

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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 November 15, 2018No Comments

S&P500 daily update

Moby

“There are certain queer times and occasions in this strange mixed affair we call life when a man takes this whole universe for a vast practical joke, though the wit thereof he but dimly discerns, and more than suspects that the joke is at nobody's expense but his own.”

Herman Melville, Moby-Dick, 1851

–

Continued pressure on price despite an attempt to move higher.

An early Sell Signal is not successful but the selling resumes from the high at 2754 as the market bleeds lower in characteristic bear market action.

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

Steve Rushton November 14, 2018No Comments

S&P500 daily update S&P500 signal

St Brice

No follow through to Friday's recovery and the market drops rapidly triggering a cover signal at 2770.

Heavy selling finds the market looking for support at the Mid-channel, triggering an S/T Sell Signal below 2735 which is initially unsuccessful.

Failure at 2750 in erratic late afternoon action triggers another Sell Signal at 2735 as the market declines into the close. As usual cover short positions overnight.

Failure to recover from 2770 results in another Bear Market Warning.

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

Steve Rushton November 13, 2018No Comments

S&P500 daily update

Repeal

Weakness after the echo high and the 08 November projection for a high triggers some heavy selling and a probe below the important 2770 level before a buying surge into the close.

Declining resistance from the high is still active and this will likely produce some triangulisation in price whilst the market absorbs the recent bounce from 2600 and a decision is made for higher prices or a re-test of the primary low.

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

Steve Rushton November 12, 2018No Comments

S&P500 daily update

Checkpoint

A pause at the highs, some profit-taking and some indecision.

For now, the market is at a projection for a high and at the previous major price high, somewhat over-extended and potentially susceptible to the declining resistance angles from the all time highs(s).

Some kind of pull-back seems likely, perhaps consolidation within the recent move up from 2750 as price catches up with itself.

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

Steve Rushton November 9, 2018No Comments

S&P500 daily update

White Mountain

The market pops on a relief rally and heads for the 55 ema and the previous high at 2813 in a momentum move beyond expectations.

An echo high, a move above the important 200 day moving average, and another strong move up in the T volume oscillator suggesting that the current T structure is larger.

The market continues its extremely bipolar character with huge gaps creating additional volatility and fear of missing out as price moves into potential resistance.

Target acheived, or the beginning of another attempt on all time highs?

Buy Signal continues but is now significantly above normal expectations – is this the new normal – and therefore over-stretched and dangerous. Price may need to catch up with itself or could easily reverse.

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

Steve Rushton November 8, 2018No Comments

S&P500 daily update

Gaither

The market continues higher challenging the previous high and moving above the mid-channel.

An echo high is scheduled for today, and so we expect some weakness afterwards.

Futures are up considerably on election results, placing the market above the 200 day moving average for the first time since 22 October, a close above would be a very positive development.

The T volume oscillator moves up again and is now at the relative high of 21 October. This is also a positive development as it potentially activates larger sections of the new T structure.

Although for now, the structure is a V shaped T structure, as and when we get another pullback, we may find that the structure starts to morph into a larger and more complex structure, depending upon whether the new primary low is challenged or not.

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

Steve Rushton November 7, 2018No Comments

S&P500 daily update

Forest

The market grinds higher, showing that for now, Friday's weakness was just heavy profit-taking at the initial target.

Still above the Buy Signal line.

Moving into a pulse and an echo high.

Expect more drama.

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

Steve Rushton November 6, 2018No Comments

S&P500 daily update

Gunpowder

Something for everyone with a surge to the Mid-Channel triggering some very heavy profit-taking.

Support finally found at 2700 as the market looks to re-establish some kind of support.

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

Steve Rushton November 5, 2018No Comments

S&P500 daily update

All Souls

Despite Wednesday's spike, the market powers higher.

The S/T Buy Signal continues with the T volume oscillator moving significantly higher, and the osc oscillator is about to make a momentum Buy Signal.

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

Steve Rushton November 2, 2018No 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 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.”
George Orwell

“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.”
The Gambler (2014), Dir. Rupert Wyatt