Chinese Yuan continuing to watch
Posted on March 22, 2014 Leave a Comment
we correctly ID an inflection point and it took off … now, a little higher is a SELL USD vs YUAN pattern a little higher. Watch this level shown below as it’s going to be extremely important. Here are the former posts …
https://bartscharts.com//?s=chinese+yuan
Swing Low, Sweet Chariot ….
Posted on March 16, 2014 Leave a Comment
As we have discussed multiple times in this venue, the move since 2009 has been one heck of a ride. This chariot of stock market emotion is, literally, off the charts. It is at an extreme that has surpassed 1929, 2000 and 2007. For the past 6 months it has defied the powerful cycles and patterns we follow. However, we are at another “potential” inflection point and based on this weeks price action the chariot appears to be running out of gas. So, objectively, the cycles and patterns we follow appear to be working. Let’s don’t jump up and down and scream the BEAR MARKET is here till this chariot of the bulls breaks a swing low.
great explanation on the importance of the Yuan vs USD
Posted on March 14, 2014 Leave a Comment
my wife tells me I am a geek and so do a lot of other people so …if my lines, charts, music, vibrations and square roots don’t make sense perhaps this might:
keep calling me a geek, I’m thick skinned.
also, I read the last paragraph … the patterns say DO NOT buy FXI, yet.
ROCK ON! OK?
Chinese Yuan weakening … not what we wanted to see
Posted on March 14, 2014 Leave a Comment
From a pattern perspective there are two scenarios:
- recent up move is a B wave that will complete in/around here and then fall into area located and then up (orange sequence of arrows)
- recent down move (blue arrows) completed the a-b-c correction and the dollar is going UP against the Yuan.
- note: when the candles go UP it’s Chinese Yuan weakness and when the candles go DOWN it’s Yuan strength
- summary: we spent some time last night showing the FXI (China) and Copper correlation .. any chance that the PBOC has a crystal ball w/ regards to their stock market, horrific credit and real estate bubbles?
Chinese Yuan continuing to strengthen? two possible scenarios shown
Update on Copper, Emerging Markets and China
Posted on March 13, 2014 Leave a Comment
CLIFF NOTES: the move in copper should not be suprising // we are correcting a multi-decade 5 waves up complete. This has shown to put pressure on emerging markets and china. All according to the script.
if you would like to search for “copper” on this blog you will see that we have had a bearish stance for a good couple of years. A strong case can be made that Copper finished a multi-year 5 waves UP and is now undergoing a potentially very violent correction. if you also click on this link you will see the correlation between FXI (chinese ETF) and EEM (emerging markets ETF) and Copper : https://bartscharts.com/2014/02/01/copper-and-the-emerging-markets-eem-etf/ also here are the highs and lows in Copper: https://bartscharts.com/2013/12/20/the-copper-script/
The most recent breakdown in copper does not play well for FXI or EEM.
NASDAQ update
Posted on March 10, 2014 Leave a Comment
cliff notes: most all of the targets that I had for the NAZZIE have been defeated. There is one more target (shown) that should cause strong resistance. nothing else has, but it still needs to be respected. also, note the PRICE and TIME correspondence coming into play w/ the all time high in the NASDAQ and the calendar day count. We are close to PRICE equals TIME. Stay tuned …
Dollar Index update before NFP
Posted on March 7, 2014 Leave a Comment
Cliff Notes:
- thrust and momentum into the final pattern level at 79.52 is strong // warns of a failure. a BIG deal.
- losing this level will open 79.00 // can’t stress enough the importance of this most recent action w/in the FX world.
- Chinese Yuan completed a perfect pattern and is moving up .. (WATCH THIS CLOSELY)
Chinese Yuan continued
Posted on March 5, 2014 Leave a Comment
in our last post we proposed 3 outcomes:
- the intervention was a shot across the bow … ruffle the feathers, so to speak, of the derivatives and carry trades being worked on this “no brainer” trade…
- it was the normal course of events, and things would return back to normal.
- this was a trend change and it could have global repercussions.
obviously, we don’t want the last one and right now it appears that we are somewhere in between the first two bullets above. that being said, trying to NOT take into account that this isn’t truly a liquid instrument I still “trust” that the patterns will prevail. So, some key levels are noted. Let’s watch the show because the last thing we want is support to hold and then interventions and massive moves up to occur.
right now …everything is normal?
Chart of the Day … the BEARISH PATTERN completing on XLF
Posted on March 5, 2014 Leave a Comment
CLIFF NOTE: the classic AB=CD sell pattern is complete on the XLF.
my last post on XLF depicting this pattern: https://bartscharts.com/2013/09/14/part-ii-the-sp-500-and-too-big-to-fail/
it’s all probability and, quite frankly, the probability certainly appears to be in the favor of the bulls …
so, the financials “broke out” and, as a PURE pattern recognition chartist they broke out right into a bearish sell pattern …
Bart's Charts 