BIDU follow up
Posted on February 12, 2015 Leave a Comment
was on some quick travel today and saw the “twitter-verse” (read universe) rocking and rolling about BIDU. I remembered that I had done a post in November 2014 about Twitter and — believe it or not in March 2014 (almost a year ago). In March, as soon as we made the new high from July 2011 I was starting to look for a 5th wave. As you can see below, in March that was too early. Now, it did hit the target and back off roughly 30% but, ultimately, it kept plugging upward.
So, back to the drawing board, and per below came up w/ 250 as the next target. That one has held – for now – and just looked at the “after market” and she sold off roughly 10% and is trading at 195 bucks.
The “targets” that are derived are pretty good … the waves are pretty good but folks, it’s all probability. the face that we are down to 195 a year later doesn’t surprise me and the fact that 250 held (to the cent) per the work below doesn’t surprise me. And, one last, guess what? The fact that 250 got rolled over to the upside wouldn’t have surprise me either …
PICK your edge … fundamentals, basic technical analysis using moving average and oscillator stuff, flip a coin, music … it doesn’t matter. All your edge is going to give you is a higher probability of something happening than not happening … So, if it works, great. If it doesn’t, great.
Just decide how much your going to lose and that’s all that matters …
Rock on dudes and dudettes!
Bart
OBTW – check this out.
250 high
Square root: 15.81
Square root – 2 = 13.811
(13.811)^2 = 190.75
please take a look at the chart …you can’t make this shit up.
BIDU after hours w/ square root target shown
11/11/2014
was too early on this count, as you can see below. Now, we are approaching some very stiff resistance as shown. another target is 295. all that being said, still believe we are in the 5th wave advance here ….
03/31/2014
CLIFF NOTES: very strong probability that a 5 wave advance is complete on BIDU
Here’s the last look at BIDU working on a 188 target for wave 5: https://bartscharts.com/2013/10/21/the-ray-charles-count-on-bidu/
Updated chart:
OK, one more on the 10 year …
Posted on February 9, 2015 Leave a Comment
wanted to show you a “quick look” at the ratio of HYG / IEF. HYG is an ETF for Corporate Bonds….when we use ratio analysis we look for one security strengthening over another. In this case, when the ratio goes down the HYG is underperforming the IEF (ten year ETF) and vice versa.
note, the second chart is showing what happens to the 10 year yield when the ratio bottoms … yields go up.
So, if ratio bottomed THEN yields to go higher.
Stay tuned ..
the key to the Ten Year Treasury Yield
Posted on February 9, 2015 1 Comment
I’ve highlighted an area w/ a blue rectangle.
Folks, that’s 5 waves up so – ultimately we need another 5 wave move up to occur.
I think that’s in work as of the close last week and have projected ten year yields to spike to 3.6-4.0 for now.
Going to be interesting to watch …
notice the 5 wave move UP … need another 5 wave move up. Believe that’s happening right now
VIX Triangle Complete? ($vix)
Posted on February 8, 2015 Leave a Comment
in Elliott Wave theory a triangle occurs in 5 waves labeled a-b-c-d-e.
a case can be made that the VIX completed the final (e) wave of a triangle on last Friday.
this week is going to be crucial w/ so many patterns pointing to the downside …
VIX traingle complete a-b-c-d-e
geometry of the midcaps ($MDY)
Posted on February 8, 2015 2 Comments
I like the tops and bottoms of circles … they are pretty powerful and not often used in the technical analysis community. the reason they work is another subject for another time. if you would like to know a little bit about their formation and their cyclical (price and time) characteristics hit me on email.
take a look at the mid-caps … perfect hit on Friday of the “top of a circle” and on a daily chart we had 3 very powerful sell patterns hitting at the same time.
watch this for weakness … if it let’s loose and busts thru the to the other side higher then let it breathe for a while and it will come back to 270 for the opportune time to get long.
in the meantime … let’s see if the top of the circle holds, or not.
square of 9 targets. note – all on axis for major high and lows
I’m watching 4 things …
Posted on February 6, 2015 Leave a Comment
PATTERNS on the ES, $NYA, Banking Index and Yen to tell me if we break out to new highs.
- Banks are rolling. That’s bullish – get thru level shown then we should surge higher
- Yen, after an entire 6 weeks of doing nothing – EXPLODED. 119.80 line in the sand
- ES “basic” AB=CD complete.
- NYA shows a possible count calling for lower
Close today will rank in the “big deal” category in my very humbled opion.
Just a pattern guy … no idea what the jobs report, or rates, or any of that “stuff” means …
IF you do ONE thing please WATCH this video …
Posted on February 2, 2015 1 Comment
Larry Pesavento (www.tradingtutor.com) is not only a mentor but a true friend and guiding example of integrity, passion and truth in the financial markets. He’s 75 (acts like he’s 16) and has made his living trading the markets for 50+ years. It’s an extreme honor to call him a friend.
SPOILER ALERT: over the years he called my family and left a message on the answering machine playing Santa for my kids … he’s that kind of a guy.
He’s worked w/ me around the MENTAL aspects of trading and working thru losses and a drawdown that I had in my CTA which had not occurred after 7 years of positive trading year over year.
Bottom line – when he speaks I listen. We skyped tonight after the football game about the Chinese Yuan, Silver and being above ground and I asked him permission to post a video that he put out this weekend which I think was extremely important. Of course he agreed because I truly believe he cares for all of us.
Here’s the deal – I full admit I went bearish in 2012. Why? Well, it’s in this video – my thinking was not based on patterns but on an emotion of “how could they surpass the debt from 2007 after that chaos?” I “think” it made sense BUT as anyone can see – the market has relentlessly marched upward and onward.
If you read this blog, you know I really don’t know anything about fundamentals. I am proud to say I am a pure play chartist and, quite frankly, pretty darn good at it. (Just ask Larry … :)) So, this video that Larry put out speaks to me … I don’t know “when” we get thumped but I am pretty confident that it’s going to happen sometime in our lifetime and it’s going to be RELENTLESS and BRUTAL and knock the teeth out of the financial landscape as we know it.
So … use a stop.
ENJOY and to Larry – my mentor and friend – thanks.
Bart
Crude “should” target 76-77 as a bounce target.
Posted on January 31, 2015 4 Comments
Thus far, the low at 44.22 has held. Yes, we had an intraday spike below but – note – it closed above 44.22 and then ripped for a nice signal reversal candle to the upside and believe we could target 76-77 w/ 60-61 as initial resistance.
$SHAK “Shake Rattle and Roll”
Posted on January 31, 2015 Leave a Comment
good morning … going to post a series of charts showing the ratio’s at work. I am not sure where this stock is going but wanted to post some charts this weekend and one of them is a demonstration of the ratio’s at work.
the concept I like the most is the world of square roots … the high 52.51-(square root of 52.51) is the EXACT close after hours.
this is a 1 minute chart and it’s showing that every swing was caught by a ratio an then the last moment of the first day of trading caught the lows w/ perfect patterns.
could you trade this? maybe but probably not. I’m a longer term swing position investor but every once in a while dig into the weeds to watch the harmony in motion …
most if not all my charts are real time. that being said, this is looking in the past but just wanted to exercise my brain a little this AM and show the ratio’s at work.
ENJOY …
Bart's Charts 