If you read the articles posted on the previous thread, then you will begin to understand traditional charting technologies are becoming worthless. As the market manipulators continue their intereference (HFTs) the market will over the short term do what they want. However, over the long term, they can't, because over the longer term, the pushing the market around won't work: fundamentals will cause the prices to move where investors feel they should be. Like today, the P/E for AAPL is much smaller than what many analysts believe it should be, so in the longer term, AAPL is likely to correct to the upside (buy on any pullback). Now, longer term trend following will make you money, not short-term daily trading.
So I thought I'd post a few charts in which we have some mutual interest. First, the SPY on the weekly timeframe:
As you can see, we're in an upchannel. This is the basis of Mutt's call that we will have a 2000 point run in the DOW. Now, in the shorter term, the SPY on the daily timeframe with the overlay of the weekly channel markers:
If the trend continues on the downchannel, we could expect a reversal where the daily downchannel intersects the weekly upchannel. However, being trend followers, we'll follow the downchannel daily trend until it breaks out. We may have to redraw the weekly upchannel, depending on when it decides to break out.
So here's the weekly SLV:
Looking at the weekly, I think we don't need to redraw the daily chart, it seems to be headed down to it's lower weekly downchannel, around 23 and change. However, if it breaks out of it's current channel, a new weekly upchannel would be drawn starting around Dec/E and upwards, incorporating our current downchannel trend. I previously commented that I might nibble on Silver, but looking at these charts, I think it's too soon to take it seriously. (I typically don't short anymore because of the costs to borrow the shares). The other question to seriously ask is why, when the overall market trend is up, is the SLV on a dwwntrend? SLV gets used up in manufacturing processes and catalytic converters, and unlike GLD, goes away unless the miners dig up more. You'd expect a long-term upchannel.
Anyway, because of the HFT's, I'll miss the daily and sometimes hourly moves. The reason my trades were losing money is that I would wait for a trend to be clearly established, and by the time I made my trade, the trend was over and the algos reversed the move. So I've been making longer-term trades, and even though the overall market is going lower, I've made 2.77% in 3 days. With much fewer trades.