Market view

Markets did a gap down yesterday where we consolidated after the big up move of 5% Tuesday. Markets gapped down , moved sideways and had a little sell off into close.

As what I saw the most bullish thing would be a sell off into close - and we got that. In our new room www.nwatrading.com we were in TNA from the breakout until 1 hour before close and got into TZA (daytrade) where we sold TZA 1 min before close and bought TNA again at 38s.

If I'm right we are getting very close to a bigger upside move as I think we are forming a near perfect inverted HS pattern in markets.

Markets on daily chart gave me a sell signal into close again on daily chart - but I think it was fake cause of the pattern I am seeing right now. If i'm right now - markets has made the inverse HS bottom with the right shoulder being in yesterday and the next move should be a huge move and rally to the upside.

With this thesis I have - I added more TNA 38 and now in with quite a big size position in TNA for a swing 37-38 and i'm HOLDING for the swing as Im thinking the markets is about to have a big rally comming up over next weeks from here...

I'm thinking IF we in case sell off soon or we plunge late this week in markets - then I would use this opportunity to BUY - but there is lots of things which tells me that a bottom is already in now.

I bought ORS 1.88 on Tuesday and got it on watch list for members at 2$ yesterday , ORS went up yesterday 40% in such a bad day and we were killing it in www.nwatrading.com - by the way Im still holding ORS from 1.88 as this is a swing play for me - I think this little small cap can go way higher if markets starts to pick up speed... as I think we will....

Conclusion:

Whats next to come ? I think a big rally is underway - and I think you should beging to buy all the dips if you can - take profits on all shorts and puts now as the sentiment right now is at extreme bearishness with around 45% bears and only 33% bulls.

The target for SPY is 121-122 based on the chart pattern target and TNA target is 52's area - which is a lot upside from here.

So this is my short term targets for now and thats why I'm thinking no matter what happends today and tomorrow - BUY the dips for long swing position - get greedy when there is blood , this is the time.

The euro is suggesting that a MAJOR rally in the euro is right underway - as what I see here is another inverted HS pattern - not sure if im very wrong seeing that , but if this is true FXE target is 150 which is way higher from here or 1.5 EUR/USD.

This would help markets rally a lot higher too in the comming weeks....

If my euro count is wrong - then euro should break below 140 which is support now - if not I continue to be extreme bullish euro short term.


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Have a nice day