Buy the Dips …

September 24, 2012

The SPX has emerged from its yearly low

Until the weekly trend line is breached — the trend is up

Stocks were down a bit today but had strong Buying on Weakness numbers
The Big Boys are placing their bets.

Currently the Miners have a swing high in place.
A break of the daily cycle trend line will confirm a daily cycle decline.

The dollar has breached the trend line from the three year low

Signaling that the dollar trend is down.

Monday was day six for the new dollar daily cycle.
(Sorry the chart says 5, I didn’t catch it on my proof read)
The dollar appears to be in a bear flag

A break down out of this pattern will signal
its time to back up the truck on precious metals …

9 responses to “Buy the Dips …”

Jackk Dog

September 24, 2012

Likesmoney,
At what price will the dollar made a swing.
Thanks for the report,
Jack Dog

Reply
1. likesmoneystudies
  
  September 25, 2012
  
  Jackk Dog,
  
  I hope hope that you are doing well.
  
  Cycles do not tell me where a swing will be made, it allows to anticipate about when one will be made.
  
  However, 80 level has been an historic level of support.
  
  After Bernanke torched the dollar, we may have seen the last time the dollar breaches 80.
  
  The dollar barely paused before crashing through the 80 level.
  
  I suspect that the 80 level will reject the dollar on the back test and then the dollar will continue into its three year low.
  
  Reply
Pamela

September 24, 2012

Thank you LM.

Reply
Marcos

September 24, 2012

Tons of good your analysis… a question: How many months do you think will last the monthly cycle of the S&P 500??? Should be at least 8 and the maximun 16??? It seems touching the 1.550 is inevitable… but meaby a deadly pivot… meaby we can make a super channel range like the 1950 to 80’s…. between 1.550 and 900… or 1.100.

Hey LikesMoney… how I can learn your cycle strategies… are some books you recomend or some online course????

Greets,

Marks

Reply
1. likesmoneystudies
  
  September 25, 2012
  
  Marcos,
  
  I would agree that the current monthly equity cycle should last at least 8 months from trough to trough.
  Usually that means two intermediate cycles will play out in that yearly time frame.
  
  Here is a link that I found very helpful: http://www.walterbressert.com/pdf/Manual.PDF
  What works for me is to track the cycles through different timeframes: the daily cycle, the weekly (intermediate) cycle and the yearly cycle.
  
  Reply
  1. Marcos
    
    September 25, 2012
    
    Thanks Master!
    
    do you trade for living?
nikeboy 2008

September 24, 2012

thank you for your report.

Reply
greco8088

September 25, 2012

Great analysis, LM. Thanks.

Reply
Short UAL | Wall Street Stocks

September 26, 2012

[…] Point of No Return …Lower opening expectedBuy the Dips … […]

Reply