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Posts Tagged ‘ Inflationist indicator ’

Nov 20


Filed under Technical Analysis

Indicator 1 (BLUE) : 10 year extreme (Stock market in RED)

Inflationist Indicator
Inflationist Indicator

Indicator 2: Extreme

Indicator 2
Indicator 2

Our indicators are NOT for short term trading, but measures degree of how overbought markets are. Indicator 1 has gone to unprecedented levels in the last 10 years! Higher than 2007 high. We live in unprecedented times. Meanwhile, the world continues, markets head higher as doomsayers continue to be wrong. It appears like we ARE climbing the wall of worry as headlines are filled with DEFAULT scares every now and then as markets slowly make higher high. We are not participating in the long side, and try our best to be hedged at all times. Emotions do lead us astray at times (eg shorting India - which by the way fell >2.4% Friday even though China and rest of the world went up (Japan included!). I guess if you preach something long enough eventually you will be proven right. Well, our average is 5500 - seem like light years away but we can see light at the end of the tunnel now. Don’t forget our long Dow and subsequently long Nikkei hedge for our India short was closed for a >$20k profit. So even a breakeven on India would be a win.

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Protected: TheInflationist Indicator Update (Registration Required)
no responses - Posted 03.30.10
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Indicator Update: 8.01.2010
no responses - Posted 01.10.10
16 Dec 2009: 8 Jan 2010: Not much change. Indicator (in blue) turned lower whilst markets (yellow/red) continue higher - divergence continues. This gives it room for our indicator to go higher (which is usually accompanied by markets going higher). We are not bullish, but will wait for a spike in our indicator before ...continue
Indicator Update 161209
no responses - Posted 12.16.09
In our previous post we noted that "our indicator has pulled back considerably whilst market continued to move up/sideways, allowing room for upside". This divergence is shown in the chart below - our indicator in blue, whilst the market in yellow/red. The resistance is not far off in our indicator chart ...continue
The Top Is In
no responses - Posted 12.02.09
Everyone is putting one foot in and one foot out of a call. Truth is no one knows. Technical traders are guided by constantly shifting goal posts in the form of pivots, resistances, supports. Most technical traders have a +/- 7 points margin of error for the S&P from the ...continue

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