The State of the Trend

By: George Krum | Sat, Aug 11, 2012
Print Email

A little more than a month ago we noticed the similarities between the current nascent rally and the November '11 - April '12 bull run. After a shaky start, the upswing is gaining momentum, and now is a good time to update the chart and revisit some upside targets:

There are a few things that stand out from this chart.

The more optimistic target, should the analogy be complete, is 1530 by the end of 2012. However, thus far the current rally is following a less aggressive growth path, which places the upward target within the 1430 - 1490 zone.

From a medium-term timing perspective, September 4th looms as the next hurdle.

From a very short term perspective, the importance of the 1395 support level can not be overstated. A break below opens the door for a retest of the lower channel at 1360, which also happens to coincide with Hurst Channel support:

Hurst Channel support



George Krum

Author: George Krum

George Krum

George Krum is the author of the "CIT Dates" blog, and the following apps available from iTunes:

OddsTrader - uses the power of Hurst Channels to produce price and time targets, and combines them with proper risk and position size management.

OT Trend - helps you quantify and forecast the seemingly random ebb and flow of stock, index or mutual fund movement.

OT Fibonacci - automates the process of applying Fibonacci numbers, ratios and time series to any security.

OT Seasonal - allows you to perform seasonal analysis on practically any security from around the world and to build long-term forecasts and models.

OT Pairs - is the first mobile app that gives users access to one of the most profitable and time tested hedge fund trading strategies.

OT Pivots - combines the power of Pivot lines with cycles and automatic signal generation.

Gann 9 - is the only financial app that allows users to effortlessly apply the legendary W.D. Gann's tools and methods for trading (including the Square of 9).

Copyright © 2011-2014 George Krum

All Images, XHTML Renderings, and Source Code Copyright ©



Source: The Contrarian Take