Here is the summary of the recent posts. First, the analysis coming into the week: Weekly Stock Market Outlook and Forecast for June 10-14. Second, following that analysis today's short position entry: Wonderwood Short Position Entry Post. Third, the stop move on that short position to get me near break even on the bearish setup. Wonderwood Short Position Stop Move. Everything is tracking the analysis. I won't be back until Thursday or Friday as I intend to hold these short positions for approximately 3 days. If it gets stopped out before then, that is the way it goes.
Now, here is where we are at on the stock market analysis and short term trading setup:
First, here is the SPY Chart showing the updated Wonderwood Trade:
Second, here is the S&P 500 chart from the weekend stock market outlook and forecast, updated to today's close:
Now, I noted in the weekend stock market update that I was not sold on that red line scenario in the above chart. I am still not entirely sold on it given the popularity of the pattern on the blogosphere. For this reason, I am not going to be quick to assume that we get that bounce as evidenced in the pattern.
The long term thesis that was updated in this weekend's stock market update for the week of June 10-14 remains unchanged as nothing occurred today to alter the analysis.
CURRENCY UPDATE, OUTLOOK AND FORECAST
I have been tracking the USDJPY short trade. The initial USDJPY Post; Harvest Post; Currency Update; Weekly Candle Stop; and This Weekend's Candle Stop Move.
There is not much to add to the chart. We back tested the channel and have dived off it. This was anticipated by Chartramblings, whose blog appears in the links to the right. For me, this does not matter much because as discussed I am going to hold this position until the 10 day candle high is pierced. That will not occur at the bottom of the move, obviously.
CONCLUSION
On the right side of the blog is additional information of value, including free chart links, links to friend sites, and other sites of interest. I have also included two polls that I created and find the results interesting so far. Please vote if you have not yet voted. Also, this is a free site that I keep largely for my own purposes, but if you like what you see here click on an advertiser to buy a round of beer. Thanks and see you later in the week.
Peace, Om, SoulJester
