Wednesday, June 11, 2014

GCQ14 – August Gold (Last:1261.50)

– Posted in: Current Touts Rick's Picks

On the hourly chart, August Gold has generated the second bullish impulse leg in four days.  Considering the long dirge that has preceded this encouraging effusion, the rally qualifies as news. We'll be better able to judge whether it's about to get legs once we've seen how buyers handle the 1263.60 midpoint resistance shown, and thence its 'D'-target sibling at 1269.30.  As always, an easy move through either of these Hidden Pivots would be telegraphing still higher prices to come

The Craziest Market Ever?

– Posted in: Free Rick's Picks

And now comes word that global investors are buying Chinese corporate paper at a record pace. Have U.S. companies run out of junk to sell them?  Whatever the case, although I've been an observer of the stock market since my early teens, I can't recall the level of craziness, greed and miserable stupidity ever reaching such a feverish pitch.  My technical forecasts allow for somewhat higher highs in the broad averages, but I can only shrug at the reasons why this would happen. It is no less vexatious that with U.S. stocks at all-time highs, almost no one seems to  care.  For a spot-on analysis -- 'Three Reasons Why the Dow Doesn't Deserve to Be at 17000', click here.

ESM14 – June E-Mini S&P (Last:1949.50)

– Posted in: Current Touts Free Rick's Picks

I'm tracking two contracts short from 1954.25 with a cost basis that has effectively been raised by partial profit-taking to 1957.00.  A 1951.00 stop-loss suggested in the chat room would have triggered an exit after-hours, as shown in the chart.  I won't presume to know at this time what subscribers actually did, but if you retained the position, please let me know and I will continue to provide tracking guidance.  For what it's worth, the A-B rally leg that triggered the stop could yield an attractive opportunity to get long via 'camouflage'. This would be 'expert play,' however, because of the futures' coy -- if not to say flaky -- behavior.  There is one more important rally target not far above where we can attempt to re-short this vehicle. Once again, I will refrain from publishing it, but its precise location will be common knowledge in the chat room.  Because it is a long-term target that has taken quite a while to reach, a stop-loss wider than our usual micro-tight, penny-ante stop is warranted.