Recent global news regarding Venezuela, China, and global oil supply/production have resulted in the price of Oil pausing over the past few weeks near $53 to $55 ppb.  We believe the continued supply glut and uncertainty will result in oil prices falling, briefly, back below $50 ppb before any new price rally begins.  Our researchers at www.TheTechnicalTraders.com believe historical resistance near $54~55 is strong enough to drive prices lower before new momentum picks up for a renewed price rally.

Eventually, yes, oil will rally above $55 and attempt to target the $65+ price level.  Yet we don’t believe that move is going to happen right now.  We believe the global uncertainty; the slowing Chinese economy and the global supply glut will result in a fundamental price decrease before any momentum for an upside price move begins.  Our analysis suggests a price move back below $50 ppb, likely targeting the $46~47 level, where basing may occur.

Uncertainty in Venezuela and other oil-producing nations may result in a disruption in supply at some point in the future.  We must be cautious of unknown situations that could result in dramatic price shifts.  Yet, overall, with supply levels still high and slowing global economic expectations, it makes sense that oil would attempt to base and find support near recent lows – between $46~48.

Visit www.TheTechnicalTraders.com to learn how we can help you find and execute better trades in 2019.  Learn how our proprietary predictive modeling systems have called these moves in the past and how our research team can assist you in finding great opportunities in the future.

Chris Vermeulen

If you have been following some of the research posts by some of the biggest names in the precious metals industry, you may understand “why” so many people are so excited about the opportunities in Gold and Silver recently.  There are so many facets to the fundamental and emotional functions of precious metals as an industrial commodity as well as a safe-haven investment to protect against risk and to hedge against inflation.  Old school traders were taught to “watch gold, oil, and bonds” for signs of concern, weakness and as a means of gauging total market sentiment.  The idea behind this statement was these market tend to act as the “canary in the coal mine” in terms of fear and risk.

Recently, we posted an article that suggested Gold, Silver and many other precious metals would move in unison as this new price expansion takes place.  Many of our modeling systems are suggesting that Gold will rocket well above $1400 sometime near May or June of 2019.  These predictive modeling tools help us to identify opportunities and price moves well ahead of the other research firms available today.  Our unique tools can actually pinpoint times/dates when breakout moves should take place and allow traders to prepare for these moves months in advance – like today.

Within this article, we are attempting to highlight the fact that any lower price rotation in Gold or Silver would be an excellent opportunity for skilled investors to target new positions or to acquire more physical material.  We believe Gold and Silver will continue to rotate near current price levels over the next 30~60+ days while setting up a moderate range of rotation.  Buying near the lower range of this rotation will allow traders to set up advantageous long positions ahead of the suggested breakout dates and really capitalize on any upside advance.  Let’s go over some of our expectations as we prepare for this next move higher.

First, our TT Charger system on this Monthly chart shows that the core price support/resistance range, the CYAN, and RED narrow price channel, is currently just below $1300 and moving slightly lower.  This is important because this longer-term chart is reacting to the price peak from 2012 and this price channel is currently providing a resistance zone that we expect the price to break above in a very aggressive manner.  You can also see the BLUE DIAMONDS that represent current bullish price trend.  Since early 2016, the TT Charger modeling system has identified Gold as being in a bullish price trend.

 

This next Monthly Gold chart is strictly price action.  Our belief is that the resistance zone, highlighted in YELLOW, will act as a horizontal price channel over the next 30~60 days as price continues to build support and momentum for the upside breakout.  This suggests that any price level below $1240 would provide an excellent buying opportunity for skilled traders that believe as we do.  The future price rotation should continue to tighten as we near the May/June breakout date – thus, we may only have a few of these deeper low price rotation ahead.

 

Lastly, this Monthly Gold chart highlights our expectations of a FLAG FORMATION breakout and how we believe the price will meander a bit higher, closer to the $1325 level, before the big breakout to the upside happens.  You can see from the WHITE lines drawn on this chart that potential for price rotation nearing $1200 exists, yet we are not expecting any deeper price rotation over the next 2~3 months.  We believe any move below $1240 would be considered a fairly deep price low and present a clear opportunity for skilled traders.

We believe Gold prices will continue to congest closer to the $1300~1320 level as we get closer to the breakout dates.  Therefore, we suggest traders pay attention to price rotation as it plays out in the future for real setups and opportunities in the precious metals.  The large GREEN arrow showing a potential breakout towards the $1700 level is our estimate of this potential upside move.  Our predictive modeling systems are suggesting a minimum of $1550 will be reached by September 2019.  Thus, we are expecting a $1600~1700 initial price advance through this upside move that would start a WAVE C price advance.

We urge all traders to pay very close attention to these moves in the precious metals.  These are incredible opportunities that are setting up right before our eyes.  If you understand what this move means for the global markets and for equity markets, then we know you value our research.  If you want to stay aware of these types of moves and learn how our predictive modeling tools can help you find and execute better trades, then take a minute to visit www.TheTechnicalTraders.com to learn what we offer our clients.  Trust us, you really want to have a skilled team of researchers helping you understand how to prepare for this move.

Chris Vermeulen

 

Recently, we openly discussed the potential for global turmoil related to Europe, Asia, China, and South America. The issues before the globe are that the global economy may not be firing in sync and that there are credit and debt, as well as geopolitical, issues that persist. The interesting component of all of this is that the US stock market has staged a very impressive recovery over the past two weeks that have shocked even the best Wall Street analysts and researchers. While the US recovered from elections, the Fed, FANG price collapse and a Government Shutdown, the US stock markets appeared to be falling off a cliff. Then, almost exactly on Christmas Eve, the markets turned around – even in the midst of all of this uncertainty.

Now, nearly 3 weeks after Christmas, the US stock market appears to be shaking off the negativity and headed for higher price levels. China announced a plan to eliminate the trade barriers between the US by providing a 10-year plan to gradually eliminate any US trade deficit. Even though China has discussed this plan before, the US stock market ate it up like a starving man on a deserted island. The ES rallied over 3.35% this week. The NQ rallied over 3.0% and the YM rallied over 3.25% week.

 

SP500 Daily Chart

We are still expecting some decent price rotation over the next couple weeks, but the markets could continue to push higher attempting to reach our Upside Target Zone without any real break. Right now, it appears any decent earnings, even a “miss”, or any moderately good news is going to be eaten up by this market that just wants to rally.

ES Monthly Chart

This ES Monthly chart showing our TT Charger modeling system show the system never flipped into a bearish mode and that the Range Level on this chart is suggesting the markets could rally back to near all-time highs again. Of course, this could be many months into the future. Still, it appears the upside move is far from over as we expect a multi-month sideways/higher price as the market determines if we are still in a bull market or bear market.

 

NQ Monthly Chart

This NQ Monthly chart showing our TT Charger modeling system continues to suggest the bullish trend is intact and shows deeper support. This would indicate that the recent price rotation was now a severe risk in the technology sector and could have been a capital rotation/revaluation that was needed after such a massive upside price swing.

 

Either way, we need to understand the bias is neutral long term here. This is much like what we say in 2015 when the market was on the verge of a bear market, but Trump was elected and we had the presidential rally save the market until now.

What will save the market this time around? The US markets appear to still be bullish based on our longer-term modeling systems. Any real positive news (a deal with China, a Brexit deal, increased US economic output and/or any resolution to geopolitical issues) could be a catalyst for an explosive upside move.

Friday’s pop/rally proves this point clearly. Just the “hint” of some type of deal with China, even though it was nothing more than a whisper of some 10-year plan to gradually try to balance trade issues, resulted in a 1.25%+ upside move across the board. Imagine what could happen with some real positive news.

Pay attention to these markets moves.  2019 is poised to be a very exciting and profitable year for skilled traders and wise investors. Visit www.TheTechnicalTraders.com to get our daily and weekly analysis forecast complete with long term investing swing trading, and index day trade signals.

53 years experience in researching and trading makes analyzing the complex and ever-changing financial markets a natural process. We have a simple and highly effective way to provide our customers with the most convenient, accurate, and timely market forecasts available today. Our index, stock and ETF trading alerts are readily available through our exclusive membership service via email and SMS text. Our newsletter, Technical Trading Mastery book, and 3 Hour Trading Video Course are designed for both traders and investors. Also, some of our strategies have been fully automated for the ultimate trading experience.

Chris Vermeulen

For those that still believe the US markets are weak and poised for a total collapse, we want to bring something to your attention. Throughout weeks of uncertainty about China trade deals, the US government shutdown, continued Brexit issues and who knows what else… oh yeah US Q4 Earnings data, guess what has been taking place in some US sectors? That’s right, a rather solid price recovery.

Two of our favorite sectors to watch for signs of strength and weakness have been rocketing higher over the past few weeks after setting up a very deep price low near Christmas 2018. The Russell 2000 ETF (IWM) and the Financial Sector ETF (XLF). While the ES, NQ, and others are still waffling around trying to find the momentum to break out to the upside, pay attention to the other sectors that could be leading the way.

Weekly IWM (Russell 2000) Chart

This first Weekly IWM (Russell 2000) chart clearly shows the support zone that was set up in early 2018 after the February 2018 price collapse. Yes, the recent October 2018 price collapse drove price below that support level, but it appears this is a “wash-out” low price reversal where traders panicked on the news and other events. The fact that this recovery has taken place may cause some to consider this a “dead-cat-bounce”, but we’re not seeing that in our research. This could/should be the start of something that pushes prices sideways/higher for a few months, at which time we will need to see to these sectors and the rest of the markets are performing to determine if the overall market is still I a bull market or about to drop into its first bear market leg down.

 

 

Weekly XLF (Financial Sector) Chart

This next chart is a Weekly XLF (Financial Sector) ETF showing our Fibonacci price modeling system and a similar Support Zone. One thing that is rather interesting about these charts is that they are both moving substantially higher this week while recently breaking above our Fibonacci bullish trigger level (shown near the right side of the chart as a GREEN LINE). The XLF chart also shows that the current price is well above the BLUE and CYAN Fibonacci projected target levels. This indicates that price may be attempting to move back into the earlier Fibonacci price range (retracement range) to establish more rotation. This new price rotation will set up new Fibonacci modeling system trigger points and tell us where the next move is likely to target.

 

Yes, we do expect some downside rotation near current levels. We don’t expect this rotation to be very deep or concerning. Price must move in waves, up and down, to support future momentum higher or lower. Our Fibonacci modeling system is suggesting any current downside rotation will likely result in a new momentum move to the upside. Still, these sectors are on fire right now and we urge traders to be cautious of any longs because we are expecting some downside price rotation over the next week or two before the next rally.

Pay attention to these markets moves.  2019 is poised to be a very exciting and profitable year for skilled traders and wise investors. Visit www.TheTechnicalTraders.com to get our daily and weekly analysis forecast complete with long term investing swing trading, and index day trade signals.

53 years experience in researching and trading makes analyzing the complex and ever-changing financial markets a natural process. We have a simple and highly effective way to provide our customers with the most convenient, accurate, and timely market forecasts available today. Our index, stock and ETF trading alerts are readily available through our exclusive membership service via email and SMS text. Our newsletter, Technical Trading Mastery book, and 3 Hour Trading Video Course are designed for both traders and investors. Also, some of our strategies have been fully automated for the ultimate trading experience.

Chris Vermeulen

Our Adaptive Fibonacci modeling system is suggesting Crude Oil may have already reached very strong resistance levels just above $50 ppb. It is our opinion that a failed rally above $55 ppb will result in another downward price move where prices could retest the $42 low – or lower.

You can see from this Daily Crude oil chart that price has formed a consolidated price channel between $50 and $53 ppb. This price channel aligns with a November 2018 price consolidation zone. It is our belief that any advance above $55~56 ppb, will result in a new upward price move to $64-65 ppb.

 

This Weekly crude oil chart highlights the Fibonacci projected price zones that represent the incredibly strong resistance level currently setup in Crude. The Weekly chart shows a zone between $50~56 as a critical resistance zone. One key element of Fibonacci price theory is that price must always attempt to seek out new highs or new lows as it rotates. Thus, if this current upside move fails to establish new highs above this resistance zone, then it must move lower to attempt to establish new lows. This means the $40 price target is a very viable immediate objective.

Global demand for oil, as well as global economic data, could be key to understand the future demand and price for oil. At this point, a new upper fractal top formation will generate new Fibonacci price targets to the downside. If our opinion proves to be correct, we will learn of these new price targets within a few weeks.

Want to learn how we called the move in Oil from $76 to $43? Visit www.TheTechnicalTraders.com/FreeResearch/ to read all of our recent research posts. We help traders find and execute better trade by using our proprietary tools to keep them informed and to alert them to new trade opportunities. Visit www.TheTechnicalTraders.com to learn how we can help you make 2019 a fantastic year.

Chris Vermeulen

Near December 21, 2018, our research team began a series of posts indicating the US Major Indexes should be set up for the “Ultimate Bottom” low that we suggested would take place after the US Elections (November 2018) and which would launch an upside price rally.  Today, we are writing to announce that the first leg of this upside move appears to be nearly completed.

It is critical to mention here that as of only a day go the short-term market trend from a technical standpoint has turned up. So, getting long before this point would be trying to catch a bottom which is tough and risky to do. The good news is that we are expecting a second leg higher after we get some rotation to the downside.

Using our Adaptive Fibonacci Price Modeling system, we can see that the current prices of the ES and NQ are very near to the immediate Fibonacci Price Target Zone.  You will see from the following charts that both the ES and NQ are already within this zone and/or very near to what we believe will be immediate resistance.  This means we should expect a bit of price rotation near these levels before another upside leg takes place driving prices higher.

This first Daily ES chart shows the Fibonacci Target Zone clearly in Green.  You can see how price has rallied up to near this level and may even rally a bit further before rotating downward a bit.  Remember, price rotation in a trend is very healthy for normal markets.  When price moves extensively in one direction or another is somewhat unhealthy and dangerous.  When price moves up or down in rotating waves or price cycles, this is a very healthy means for the price to establish support/resistance and to wash out groups of traders that may be biased in the markets.

 

This Daily NQ chart shows a very similar, although more narrow, Fibonacci Target Zone.  The result is virtually the same as the ES chart.  Price should attempt to establish some resistance within this zone and the potential for a downside price rotation increases near this level.  We are expecting a downward price move, possibly toward the BLUE Fibonacci downside target square level, before the price rally resumes to drive prices above recent highs and into the next leg higher.

 

If you have followed our analysis, on September 17, 2018, we predicted 4~5 months into the future what would likely happen.  Our call for an “Ultimate Low” price reversal after the Nov 2018 elections appears to be setting up perfectly.  Although we did not predict this extreme low price level in that research post, the overall expectations we had in September were nearly perfect.

If the remainder of our analysis continues to play out as accurately, we should be setting up for a very big move to the upside over the next couple of months.  It will likely be paired with decent earnings data from the US, moderately strong economic data and the resulting economic improvements of a China Trade Deal and the resolution to the US Government Shutdown.  The issues in Europe are set to reach a peak somewhere near March or April 2018.  We expect the US markets to be trading several percents higher by that time.

Pay attention to these markets moves.  2019 is poised to be a very exciting and profitable year for skilled traders and wise investors.  Visit www.TheTechnicalTraders.com to get our daily and weekly analysis forecast complete with long term investing swing trading, and index day trade signals.

53 years experience in researching and trading makes analyzing the complex and ever-changing financial markets a natural process. We have a simple and highly effective way to provide our customers with the most convenient, accurate, and timely market forecasts available today. Our index, stock and ETF trading alerts are readily available through our exclusive membership service via email and SMS text. Our newsletter, Technical Trading Mastery book, and 3 Hour Trading Video Course are designed for both traders and investors. Also, some of our strategies have been fully automated for the ultimate trading experience.

Chris Vermeulen

It’s hard not to get excited when we kick start the week with a winning trade within the first 2 hours of trading. Our proprietary price spike trading strategy that has generated 6 winning trades before the opening bell for the last 6 days in a row.

 

Also, what is really exciting is that we have had 5 winning Gap Window Trades in the past 6 days as well. that’s 11 winning trades in 6 days and no losing trades!

RECENT MEMBER COMMENT

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Thanks, Ben
Jan 14th 2019

 

Housekeeping Notes: Please note we are in the process of upgrading this trading newsletter to become a full trading suite for long-term investors, swing traders, and day traders complete with our live updating trading charts, analysis, and signals.  The trades in our portfolio only represent ETF swing trades and not our price spike, gap window, or cycles based trade setups, but all trades will start to be posted and tracked in their own areas of the site once we complete these upgrades for you.

Over the next 30-60 days, there will be incredible value added to the service which you will not find anywhere else. The analysis, tools, and trade setups will improve the way you see the markets and trade no matter what time frame your focus is on (investor or active trader). Exciting stuff and let us know what you think would be valuable for us to improve on and add to the member’s area for you.

GET OUR TRADE ALERTS TODAY – CLICK HERE

Chris Vermeulen

We called the move from $4.75 to $2.90 in Natural Gas, and our predictive modeling solutions are suggesting a new upside rally in price is setting up for early Spring.

Very cold weather across the Northwest and Eastern US, as well as moderate demand globally, should prompt a renewed rally in Natural Gas through at least March or April of 2019. A move to, or above, $3.30~$3.40 would indicate there is little chance of a Washout-Low price formation and that a new rally is in place.

 

Over the past week, we have been remained bearish on natural gas but Friday’s strong close and Sunday nights price of natural gas futures showing a 7% pop signals a potential trend change happening.

In short, natural gas was oversold, its been testing the $3.00 whole number which acted as support for the price. Also, our cycle analysis does point to higher prices from here. The trend had not fully reversed, but it appears to be doing that as of this writing.

We believe Natural Gas provides an excellent opportunity for a move back to near $4.20~$4.40 as the extended cold weather and global demand continue to put renewed pricing pressure on this commodity.  We believe the next upside move could be very fast regarding upside price recovery.

While natural gas is can provide some explosive moves for short term gains, if you are a short term trader looking for pre-market trade setups, and morning gap trades similar to the 8 winning trade setups we had last week be sure to check out our last post on Price Spike Trades, and Gap Windows!

Visit www.TheTechnicalTrader.com to learn how we can help you find and execute better trades in 2019.

Chris Vermeulen

This has been the best week in a long time for intraday trades. The last 4 days the SP500 gave us 8 trades and all 8 turned into winners. Each days turning generating between $300 a $1250 per ES mini contract, although these can be traded using the SPY or 3X index ETFs.

Subscribers who day trade are taking this pre-market analysis and setups and making a weeks wage within 1 – 3 hears in the morning before lunch.

What makes these trade triggers is that they are the BROAD market SP500 so if you day trade other stocks knowing the short term market direction each morning add so much power to your other day trades for timing entries and exits.

 

SPY ETF 10-Minute Chart

This chart focuses on today’s spike higher and gap lower. both these played out once again and are based strictly on technical analysis and statistical analysis.

daytra8s

 

If you want to be notified of these types of trades each week
subscribe to our Wealth Building Trading Newsletter Today! 

Our ideal morning market swing as I mentioned in today’s members-only video has played out. A price drop to reach spike targets, then a reversal rally to gap fill. This is the third straight day the market had done this for us, it’s not always this good or frequent. 6 winning trades in 3 days is tough to beat and one day pays for years worth of access to our Wealth Building Newsletter Service.

If you don’t know about our two best short term trade setups which are the “Gap Window” and “Price Spike” then you’ll want to learn more and we will be adding a detailed trading guide on exactly how to trade these for our subscribers.

These charts and triggers are what we are implementing within the member’s area with live updating charts and signals so you have a steady stream of winning trades each week to keep your account growing.

The chart below shows the moves and profit potential trading the ES mini futures contract, but as long as you can trade pre-market hours with your broker you can trade the SPY and 3X SP500 based ETFs for these setups.

I know these are very short term trades and not ideal for many of you to trade, and we are looking into an auto-trading solution for these early morning trades. Know that we are focusing on implementing our active swing trading strategy for a steady stream of trades as well.

 

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Chris Vermeulen