Bollinger Bands Pinched Tightest In 120 Bars As Indexes Wind Up

Gold and oil are making Oscar winning moves. Gold moved. Crude moved 2.5%. The stock indexes have collectively filed a notice stating they will not be participating today, and would rather not be contacted about it.

• ES 7,776.25, -0.01%. Sat under the NATHs and going nowhere in a hurry.
• YM 54,023, -0.07%. Same story, parked below the highs.
• NQ 29,757.25. Still the laggard of the group, well off its own NATHs.
• RTY 3,024.9, -0.02%. Wound tight with the rest of them.
• VIX 15.51, +0.39%. Nothing here to suggest anyone is worried.
• GC 4,431.0, -0.40%. Off the highs after the run, still one of the two making moves.
• CL 84.37, +2.52%. The one instrument putting a shift in.
• BTC/USD 64,084.19. See below.

SPX – Bands pinched, pinch high and low marked, boom, range marked.

SPX is still contained in the range we noted and dinging off the upper edge, so unless there is a breakout move a trip to the lower edge is most likely, and again for simplicity of the chart I’ve temporarily turned off the software tool to highlight this. I will be working on the automation element for what’s being shown here.

Basically, the Bollinger Bands are pinched at their lowest contraction point in the last 120 bars. Mark off the pinch high and low, boom, range marked.

Dinging off the upper edge, so most likely a trip to the lower.

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RUT – Same view point, different ticker.

Over on RUT you can see the same view point, ping pong back and forth until there is a breakout move.

Ping pong back and forth until there is a breakout move.

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Crypto – Still sucks or blows, and still hitting target either way.

Crypto still sucks or blows, I can’t yet decide which. The eventual breakout will potentially be monumental, at least that’s what the crypto bros on the Milk Road are saying. I’ll keep my diamond hands in the top drawer ready.

ETH/BTC is still chugging along on the bear side and again near the target I set. I may just take this and look for something more concrete.

If anything this is highlighting why I like options selling these days, as the sideways still gets me my target objectives without needing a directional move. Crypto options anyone?

Diamond hands staying in the top drawer.

Premium Poppers

One rough as a badger’s arse, one with no pain or headaches.

SPX looks like it was rough as a badger’s arse. As I took the day for myself to watch movies and eat chicken soup, I can only speculate on what might have happened. The first SPX breakout does look like a good’un before the eventual turn lower, and the note from the swings yesterday did point out the bear potential on a move higher, and this is what unfolded.

RUT as always is and was simpler to read. Clear 1st breakout setup, no pain or headaches.

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And of course, the AntiVestor community smashed the Premium Poppers although the Lazy Popper (LP) got a kick in the shins.

• Don Eng closed SPX Bull BO for 50% (makes up for the loss I took on Friday)
• Bill Bloodworth Closed SPX Bull 20 ORB for 60%
• Don Eng Closed RUT Bear LP for 40%
• Mary Closed SPX for 60%. The way it’s looking, if I had transformed it, it would be right in the profit tent. Oh well, it’s still a win.
• James Davis Another sideways day, took the LP bull on the SPX and it lost, took the LP bear breakout and won at 50%, overall a loss. Today’s another day.

Thanks for the transparency, James.

The community smashed the poppers, the LP got a kick in the shins.

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Fun Fact

That Edge of Tomorrow line is closer than you’d think. <cite index=”3-1″>The 2014 film is known by its tagline Live. Die. Repeat., and was marketed under that name for the home release</cite>. Wake. Trade. Repeat. is only one word off, and frankly the loop feels about as long.

Meme of the day

Let’s see what Tuesday brings. Catching up on a few more movies, Beetlejuice 2 I thinks to start things off today.