The Ord Oracle By Tim Ord (10/05/11)_TY_George
* Wednesday, October 5, 2011
For 30 to 90 days horizons SPX: Long on 10/4/11 SPX at 1123.95.
Monitoring purposes GOLD: Gold ETF GLD long at 173.59 on 9/21/11
Long Term Trend monitor purposes: Flat
A “Selling Climax” occurred at the 8/9 low which came in near 110 on the SPY and 1100 on SPX and most “Selling Climax” low are tested and that test came yesterday. For a bullish signal to be triggered, the test needs to be on lighter volume and close above the “Selling climax” low, which it did. The 100 day average of the TRIN hit into the intermediate term bullish level of 1.50 and suggest the potential uptrend will be of intermediate term and could keep the rally going into year end. There is strong resistance near 1250 on SPX and could be where market is headed. The McClellan Oscillator did produce a positive divergence yesterday and a bullish sign. Sometimes the test of the “Selling Climax” is tested (that’s yesterday’s low) before the market heads higher and as long as the test is on lighter volume the bullish picture will remain. Long SPX at 1123.95 on 10/4/11.
Above is an intermediate term view of the SPX. Normally when the 100 day moving average of the TRIN reaches above 1.40 (Current high reading came in at 1.49) the market is near an intermediate term low. To keep the bullish picture for the SPX, generally the 100 day TRIN should trend lower. The Neckline of a Head and Shoulders top lies near 1250 and may be where the SPX is headed and may provide resistance.
Above is the daily silver/gold ratio dating back to mid 2007. When silver falls dramatically compared to gold than the RSI of this ratio falls rapidly and when the RSI falls below 30 then a bottom in gold is near for the intermediate term. We have labeled with Red arrows when the daily RSI of this ratio fell below 30. Over the last week the RSI has been below 30 (current reading is 29.49) and suggests gold is near an intermediate term low. We bought GLD early but the analysis suggests an intermediate term low is being processed and we will keep our position. Long GDXJ at 36.24 on 9/21/11. Long GLD at 173.59 on 9/21/11. Long BRD at 1.67 on 8/3/11. Long YNGFF .44 on 7/6/11. Sold on 8/8/11 SLV at 38.32 for gain of 11.4%-Long SLV at 34.39 on 7/5/11. Long EGI at 2.16, on 6/30/11. Long GDX at 57.01- stopped at 59.50 for gain 4.4%. Long GLD at 147.14 on 6/29/11; stop 170 hit = gain 15.5% . Long KBX at 1.13 on 11/9/10. Long LODE at 2.85 on 1/21/11. Long UEXCF at 2.07 on 1/5/11. We will hold as our core position in NXG, CDE and KGC because in the longer term view these issues will head much higher. Holding CDE (average long at 27.7. Long cryxf at 1.82 on 2/5/08. KGC long at 6.07. Long NXG average of 2.26. For examples in how "Ord-Volume" works, visit www.ord-oracle.com.
http://www.decisionpoint.com/TAC/ORD.html
George.
* Wednesday, October 5, 2011
For 30 to 90 days horizons SPX: Long on 10/4/11 SPX at 1123.95.
Monitoring purposes GOLD: Gold ETF GLD long at 173.59 on 9/21/11
Long Term Trend monitor purposes: Flat
A “Selling Climax” occurred at the 8/9 low which came in near 110 on the SPY and 1100 on SPX and most “Selling Climax” low are tested and that test came yesterday. For a bullish signal to be triggered, the test needs to be on lighter volume and close above the “Selling climax” low, which it did. The 100 day average of the TRIN hit into the intermediate term bullish level of 1.50 and suggest the potential uptrend will be of intermediate term and could keep the rally going into year end. There is strong resistance near 1250 on SPX and could be where market is headed. The McClellan Oscillator did produce a positive divergence yesterday and a bullish sign. Sometimes the test of the “Selling Climax” is tested (that’s yesterday’s low) before the market heads higher and as long as the test is on lighter volume the bullish picture will remain. Long SPX at 1123.95 on 10/4/11.
Above is an intermediate term view of the SPX. Normally when the 100 day moving average of the TRIN reaches above 1.40 (Current high reading came in at 1.49) the market is near an intermediate term low. To keep the bullish picture for the SPX, generally the 100 day TRIN should trend lower. The Neckline of a Head and Shoulders top lies near 1250 and may be where the SPX is headed and may provide resistance.
Above is the daily silver/gold ratio dating back to mid 2007. When silver falls dramatically compared to gold than the RSI of this ratio falls rapidly and when the RSI falls below 30 then a bottom in gold is near for the intermediate term. We have labeled with Red arrows when the daily RSI of this ratio fell below 30. Over the last week the RSI has been below 30 (current reading is 29.49) and suggests gold is near an intermediate term low. We bought GLD early but the analysis suggests an intermediate term low is being processed and we will keep our position. Long GDXJ at 36.24 on 9/21/11. Long GLD at 173.59 on 9/21/11. Long BRD at 1.67 on 8/3/11. Long YNGFF .44 on 7/6/11. Sold on 8/8/11 SLV at 38.32 for gain of 11.4%-Long SLV at 34.39 on 7/5/11. Long EGI at 2.16, on 6/30/11. Long GDX at 57.01- stopped at 59.50 for gain 4.4%. Long GLD at 147.14 on 6/29/11; stop 170 hit = gain 15.5% . Long KBX at 1.13 on 11/9/10. Long LODE at 2.85 on 1/21/11. Long UEXCF at 2.07 on 1/5/11. We will hold as our core position in NXG, CDE and KGC because in the longer term view these issues will head much higher. Holding CDE (average long at 27.7. Long cryxf at 1.82 on 2/5/08. KGC long at 6.07. Long NXG average of 2.26. For examples in how "Ord-Volume" works, visit www.ord-oracle.com.
http://www.decisionpoint.com/TAC/ORD.html
George.
Trade at YOUR OWN: Risk, DueDiligence, RiskTolerance. Trading Responsiblity is Totally Yours!
You are Spending Your Money, no one elses! Be Wise, Be Thinking, Be Deliberate!
Be Lucky, Chichi2
Join the InvestorsHub Community
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
