Nov 24

Weekend Outlook for 25th November 2013

Markets played out more or less as expected for memebers in room. First we got the target 1802 before a sell off. I was looking for a sell off to 1770-1780, as it was some major support around there. After I saw that the move from 1802 looked quite weak – I was thinking about another bull flag with target 1810.

So far 1810 remains the target short term – but wont rule out we could see a bit higher. I need some impulsive move to downside to start the correction – so we will see what is coming up in the next weeks.

For now we should see a test a bit higher early on this week – then I think selling pressure will occur. But on the other hand as thanksgiving week – wont rule out a slow steady grind higher without much action

1. VIX is near low levels and I think VIX wont go any much longer to downside. It is much more likely VIX will bottom here 12-13 and then go higher in the short term.

2. TLT bonds looks bullish as I think people move into bonds it may be one reason for a sell off in stock markets (Correction / bear market to begin)

3. Remember I think we close to a bull market top – HOWEVER I wont call any bull market top here , because I wanna see the price/action first on selling to downside. Also with the correction – we need an impulsive sharp move lower first.

4. Gold I’m still extremely bullish on and silver – looking for a year end rally from current levels.

Conclusion: All in all – we should hit 1810 minimum target at least – then wont rule out as thanksgiving week usually bullish , could grind up somewhat this week – but be open for any surprises.

After this next push up is done , a larger correction or move down should occur.


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