Tuesday, 5 July 2011

The Silver Foxes Den: $GOLD Study

Wyckoff Long Wave Analysis
 Based on the work of Charles M. Dow, Richard D. Wyckoff developed a comprehensive methodology of market analysis that remains tried, tested and true today.  It has been improved and expanded on by Dr. Henry "Hank" O. Pruden of Golden Gate University (www.hankpruden.com).

Long Wave Dynamics is a methodology based on the work of P. Q. Wall. improved and expanded on by David Knox Barker. (www.longwavedynamics.com)

"3 Non Correlated Methods” Analysis is a methodology based on the work of Constance Browne. (www.aeroinvest.com)

Below is my offering which I have named "Wyckoff Long Wave Analysis" which is a synthesis of the various disciplines who's strengths I feel compliment each other and as a tribute to their creators.

Signal Indicators: Emotional Ranges are generated by Ratio Positions on the Fibonacci Grid
Fibonacci Ratios: Solitude range=0 -.382 / Normal range= .382 - .618 / Frenzy range= .618 - 1.00

Symbol: GLD
Period: Weekly

Analysis
RSI= Normal (transition) bullish turn but down from here very bearish
Price= Level 1 Normal (transition) Level 2 Grid Solitude (oversold) bullish on the 21 week moving average and well above the 55 week average strong uniform structure
Stochastic=Frenzy (overbought) bearish but turn up from here bullish
RSI Stochastic=Solitude (oversold) but seems to be competing 5 wave down leg

Level 1 Resistance: $1516.84
Level 1 Support: $1275.38

Conclusion: signals are mixed
Action: Hold

Period: Daily

Analysis
RSI= Solitude (oversold) bullish
Price=Solitude (oversold) bullish
Stochastic=Solitude (oversold) bullish
RSI Stochastic=Solitude (oversold) bullish


Level 2 Resistance: $1500.20
Level 2 Support: $1440.01

Conclusion: some follow through would support bullish pennant theory 
Action: Buy/Hold tight 3% trailing stop

Market Stats
O $146.96 H $147.82 L $146.85  C $147.63  Vol 11,300,000


Point and Figure

Analysis: Looks vulnerable and scary! homer no like! I would prefer to see a symetrical triangle or flag or pennant.  this looks like distribution pattern
Conclusion :  Bear target $140 Bull target $156
Action: Hold

Cycle Projections and Interactive Fibonacci Grids are generated and courtesy of David Knox Barker and Long Wave Dynamics.

Wall Cycle Top Projection
Start: 6/22/2011
Date Fibonacci Ratio Status
8/15/2011       61.803%        Shorter than Ideal
8/31/2011       50%        Shorter than Ideal
9/17/2011      38.196%        Shorter than Ideal
10/8/2011       23.606%        Shorter than Ideal
10/21/2011       14.589%        Shorter than Ideal
10/29/2011       9.016%        Shorter than Ideal
11/2/2011       5.572%        Shorter than Ideal
11/10/2011       0%        IDEAL TARGET
11/18/2011       5.572%        Longer than Ideal
11/23/2011       9.016%        Longer than Ideal
12/1/2011       14.589%        Longer than Ideal
12/14/2011       23.606%        Longer than Ideal
1/4/2012       38.196%        Longer than Ideal
1/20/2012       50%        Longer than Ideal
2/6/2012       61.803%        Longer than Ideal
3/31/2012       100%        Longer than Ideal
6/27/2012       161.803%        Longer than Ideal

Wall Cycle Bottom Projection
Start 1/7/2011
Date Fibonacci Ratios Status
8/24/2011       61.803%        Shorter than Ideal
9/9/2011      50%       Shorter than Ideal
9/26/2011       38.196%        Shorter than Ideal
10/17/2011       23.606%        Shorter than Ideal
10/30/2011       14.589%        Shorter than Ideal
11/7/2011       9.016%        Shorter than Ideal
11/11/2011       5.572%        Shorter than Ideal
11/19/2011       0%        IDEAL TARGET
11/27/2011       5.572%        Longer than Ideal
12/2/2011       9.016%        Longer than Ideal
12/10/2011       14.589%        Longer than Ideal
12/23/2011       23.606%        Longer than Ideal
1/13/2012       38.196%        Longer than Ideal
1/29/2012       50%        Longer than Ideal
2/15/2012       61.803%        Longer than Ideal
4/9/2012       100%        Longer than Ideal
7/6/2012       161.803%        Longer than Ideal

Interactive Fibonacci Grid Price Projections

Level 1 Grid
High 2298.26 1.0000
2184.24       0.94427
       2113.79       0.90983
       1999.78       0.8541
       1815.31       0.76393
       1516.84       0.61803 Resistance
       1275.38       0.5          Support
       1033.89       0.38196
       735.42       0.23606
       550.95       0.14589
       436.94       0.09016
       366.48       0.05572
252.50 Low  


Analysis: Normal (transition) Golden Ratio is over head
Conclusion: Golden ratio will act as strong resistance until over come
Action: Hold/Neutral tighten stops

Level 2 Grid
High 1815.31 1.0000
       1792.32       0.94427
       1778.11       0.90983
       1755.12       0.8541
       1717.93       0.76393
       1657.75       0.61803
       1609.07       0.5
       1560.38       0.38196
       1500.20       0.23606 Resistance
       1463.00       0.14589
       1440.01       0.09016 Support
       1425.81       0.05572
       1402.83 Low

Analysis: Solitude (oversold) Bullish
Conclusion:Golden Ratio on grid 1 will act as extreme resistance over head this will be a true test of the Bulls will!
Action: Hold/Accumulate

Bradly Siderograph for S&P 500
Major Turns

Feb 17 2011
July 29 2011
Dec 28 2011

Minor Turns
1/6/11
2/3/11
6/15/11 * near miss 6/17/11 up
6/22/11 * Hit down
8/20/11
8/30/11
9/26/11
10/12/11
10/28/11
11/22/11
11/23/11

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