Trading the Line

Like a heart beat

Pull-back and found 'support' at the 55 ema and push up above the mid-channel.

A general improvement all round and as the T volume oscillator turns positive it seems that the small T is more likely to play out now with a little bit of end of month bullishness and the new month's inflow of cash.

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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 & 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.

Steve Rushton September 28, 2016No Comments

S&P500 daily update S&P500 signal

S/T Buy Signal at 2160

Speculative buying above 2152 and above the 55, cancelled out the Sell Signal for now.

If the market can hold above yesterday's low then we have the possibility of the small T pushing upwards into the next expected short term high – October 4-5

S/T Buy Signal at 2160 and above today.

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Steve Rushton September 28, 2016No Comments

S&P500 daily update S&P500 signal

S/T Sell Signal at 2150

Looks like the short term cycle highs expected for today came in a couple days early this time.

Failure of the bounce at 2150 indicative of the general weakness apparent in the market, and now looking for another leg down.

Back on a * Short Alert *

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Steve Rushton September 26, 2016No Comments

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Trading the Line Free Report

2 weeks after the September 9 plunge, I thought it would be interesting to re-cap.

The market made a series of lows at an obvious support level – the 2015 high – and then made a tentative buy signal prior to the recent Fed statement. A small T was formed and confirmed by the oscillator and we are now back filling the gap.

The small T 'conveniently' projects a peak at the same time as the large Red T structure – on about October 17. (Not necessarily a new high.)

Unfortunately, 2 short-term cycle highs are scheduled for tomorrow (+/- 2 days), and this coincides with the first arm of the current small T structure.

It is possible that the recent small T has a centre 1 or 2 days earlier due to the discrepancy between the price and the oscillator lows – therefore thursday's peak at 2180 might be an important one.

Keep an eye on the rising support lines from the February and June lows for confirmation of the trend.

Be prepared.

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Steve Rushton September 25, 2016No Comments

S&P500 daily update

Pop and drop

Look no hands and swerve.

But closed thursday's gap.

T volume oscillator back below zero – potentially a warning… so we need to see a recovery soon.

First arm of small T and another cycle high scheduled for monday…

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Steve Rushton September 25, 2016No Comments

S&P500 daily update

Gap and Fill

An interesting gap and fill of the September 9 plunge – look no hands on the wheel again…

T volume oscillator turns positive and confirms the small gray T with potential strength into a mid October high corresponding with the red T structure

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Steve Rushton September 22, 2016No Comments

S&P500 daily update

Fed up with waiting

Market held support at 2140 in preparation for the Fed and the Buy Signal from earlier in the week confirmed by price move above 2152 and by the OSC 5,35 and T volume oscillators.
Now watch out for any breach of the underlying rising Gann line to cancel this signal, otherwise the market is now signalling strength into 26 september for a short-term cycle high.

First arm of the small grey T structure now active, also into September 26.

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Steve Rushton September 22, 2016No Comments

S&P500 daily update

Fall Equinox

[Neo sees a black cat walk by them, and then a similar black cat walk by them just like the first one]
Neo: Whoa. Déjà vu.
[Everyone freezes right in their tracks]
Trinity: What did you just say?
Neo: Nothing. Just had a little déjà vu.
Trinity: What did you see?
Cypher: What happened?
Neo: A black cat went past us, and then another that looked just like it.
Trinity: How much like it? Was it the same cat?
Neo: It might have been. I'm not sure.
Morpheus: Switch! Apoc!
Neo: What is it?
Trinity: A déjà vu is usually a glitch in the Matrix. It happens when they change something.

– The Matrix (1999)

A Déjà vu day whilst waiting for the central bankers to juice the system.

Not quite hitting a Sell Signal but still on a 'Short Alert'.

OSC recovering and potentially making a Buy Signal.

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Steve Rushton September 21, 2016No Comments

S&P500 daily update

Fading away

Market failed yet again at the 55 and continuous its 'bearish' behaviour, still indicative of a distribution going on under the surface.

Not quite hitting a Sell Signal, but still on a 'Short Alert'

Another major arm of the red T expires today and so the choppy time could be over.
Do we need another leg down or is it time for a recovery into October?

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Steve Rushton September 20, 2016No Comments

S&P500 daily update

Crapshoot

Expiration day selling contained successfully and held up into the close above important 2138 level, but note that the oscillator is still dropping.

Although the recent Buy Signal remains questionable, strength above 2152 would give it some credence as we approach another arm of the red T and then a cycle high scheduled for next monday.

However the prescence of the recent 'railroad tracks' indicates the possibility for a steep 'waterfall' sell-off (-100 points or so) if a catalyst appears during the next few days…

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Steve Rushton September 19, 2016No 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