by Mr. BachNut » Mon Sep 18, 2017 10:36 am
Greetings all. Mr. BachNut with some NYMO news.
The NYMO cycle remains up. It has been the most powerful up cycle so far this year being the longest and making highs for the year.
It is making a fresh year high this morning. Assuming it closes up here, the negative NYMO divergence that has been present since the beginning of the month will be broken validating the price highs we are seeing.
As you can see in the chart, NYMO levels are getting quite high and nearing the Turn Zone.
Anecdotally, if you get a NYMO move like this after a deep price correction, it suggests a kickoff within what may be a powerful rally.
If, however, a move like this occurs from uncorrected price levels, it is fair to look for a multi-week price stall or correction ahead.
The current NYMO up cycle started with price right at the middle keltner (not weak at all). So, I'll be looking for prices to stall or turn ahead. (Perhaps sometime over next two weeks?)
Not a prediction... just a possibility to set up for.
Price is tagging the underside of my magenta internal trend line this morning. I thought we saw a kiss goodbye in August but price is passionate for this thing.
It is also not far from the upper keltner. This keltner has been flattening a bit and if price fails to tag, it will be another sign of slowing momentum.
I continue to view the current rally as kinda wedgie (blue orange lines). If/when the wedge breaks, the two marked gap targets to the middle keltner should be attractive.
I am still long.
Emotionally, I want to sell. Things are feeling a little 1999ish to me.
For those who weren't around, it was a spell of time where price just kept marching.
It didn't end until it ended. Let's see what happens.
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