Ideas (Inverted Head & Shoulders) Twitter -20%

Barrick Gold Corp. Setting up in Bullish Formation

X Setting up for the Buy Side United Steel

I talked about the short opportunity X had on January 30th, 2013 Click Here and how it had $2 more dollars of room to the downside to fill its gap and test the established trend-line. Well a little over a month later the move has completed. Trend-line has held and a reversal pattern is currently underway. IMO the lows here should be in. Key reference area for a long is 19.87.

Gold Weekly Inverted Head & Shoulders Pattern

Gold $GC_F futures weekly chart has been testing its Key Reference Area (3) times since putting in 1923.70 highs from September of last year. In doing so, these (3) tests have created a large inverse head and shoulders bottoming pattern as the head was defended of may this year with a right shoulder low of 1526.70. After putting in a right shoulder low, this future made a move north to 1642.40 finding its 1st resistance. After finding the 1526.70 high/low saw a double bottom re-test in late June. Then a few months of consolidation this future was ready to breakout of its symmetrical triangle formation which targets 1758.10 which was a few points away from completing its short term upside move today. Note: smaller time-frames today are turning negative as the last 4 trading weeks look a little long in the tooth and vertical. Any pullback into the key 1642.40 area "high" I anticipate responsive buyers to be active (what was resistance now = support) , this also would be a healthy retracement needed to propel this future through the neckline and begin attacking its extremes highs of 1923.70 and then on the complete its ultimate objective of 2084.90

IBM Daily

IBM Daily is breaking out of a long term down trend line. But also bumping its head on rising trend-line which is resulting in a rising wedge pattern. Note the inverted head & shoulders pattern that's targeting the 213.00 price. On a pullback into 202-200.00 i anticipate buyers to be active on a re-test of the broken trend-line plus the August high as support.

Alcoa Inverted Head & Shoulders

Russell 2000

Russell 2000

Oil Long Trade Meets Objective (Step by Step)

Oil today has broken out of it's balance that has been forming the last few sessions on decent volume. Today's highs tested a well established trend-line and was respected. The Blue dotted falling channel is well established also. There are 2 scenarios that can unfold here....1) Being oil rallies up, and tests the top resistence of the channel, and consolidations right underneigh it before breaking out. Which would form a slanted inverted head and shoulders pattern I.E. the consolidation period would = right shoulder and thats what I will be bidding into. Or scenario 2) It touches the top of the channel and falls hard back down to the lower support channel into the Island Reversal bottom which I will defend long....IMO longs want to see a test of the Island Bottom Reversal which lines up exaclty with the bottom support of the channel. 

Nasdaq Completes Upside Objective

 After a little under 1 month in time and (21 trading days) later the Nasdaq completes its upside objective today, after breaking out of its slanted inverted head and shoulders pattern that formed from the beginning of November to the end of December last year See Original Post Of Setup. This also coincides with decent resistance ahead (Right Shoulder breakdown from 2011's Head and Shoulders Topping Pattern. With the completion of the pattern and major resistance ahead at the gap, I find it very unlikely that the Nasdaq (though been strong) will continue to march further beyond this resistance zone without a retracment or pullback. Pullbacks are healthy and when we don't get them is when we see serious corrections based on the fear factor. I also spotted a similar setup in the $DJT (Dow Jones Transports) during this same time period which is also getting very close to completing it's upside objective though slowly running out of steam Dow Jones Transports Post. Its Setup was more of a Ascending Triangle coupled with a Inverted Head and Shoulders pattern which has had a fantastic move for all the transpo stocks over the last 2 months $KSU $UNP $FDX $UPS $JBHT etc. To me these (2) Indices which I like to use them as (Indicators) are extremely extended and is away from fair value. Over the next few days or week I greatly believe that these (2) Indices could influence the potential outcome of the $SPX, $SPY, $ES_F, and Dow entering a potential mid-term high. Were already seeing volume divergences on the weekly time frame on the Weekly ES Chart . Though (innocent until proven guilty), if these (2) being the leaders, and dragging up the rest of Indexes starts to pullback or find some resistance, I believe the other indices will do the same. Protect profits, tighten stops.