A nice day for bulls again !

A nice day for bulls again !

It seems the predicted NASDAQ target, namely, 1995, will be realized next week with a pretty high chance ! Even if the market keeps holding well around this level, the bears will be screwed up, not to mention a big jump up again !

However, for the Bull's sake, I really hope the expected DOWN wave can come sometime next week, if not already started from yesterday's high of ~1980, which may still be possible to date !

I want to mention here that all three major US stock indexes (NASDAQ, S&P 500, and DOW Jones) have successfully stood above 250 days moving average ! This is a pretty bullish sign ! If all of them can hold it, then a lot of the institutional money on the sidelines will rush back in ! But I think there should be some battles over it between the bulls and bears. That's the major task for both the Bears and Bulls in the coming DOWN wave !

Since March's low of 1265 to yesterday's 1979, the NASDAQ index has been UP ~ 56% in less than 5 Months ! Many stocks have gained much more than doubled during this UP wave ! Even QLD has run up from 19.46 to 44.75 ! I mention these numbers here not to scare you as a bull. Instead, I want to say, it seems this trend UP wave may be not a traditional bear market dead bounce. It may be evolved to a reasonable bullish market ! Once a major trend is confirmed, it will last at least a year. So stay alert ! Just follow the market trend and don't fight with it !

More fun next week ! Enjoy !

Only 15 points away from the predicted Nasdaq target

for this magic UP wave !

Today, NASDAQ made a new higher high of ~1980, only 15 points away from my predicted NASDAQ target ! The target is calculated, very roughly, based on an island reversal breakout pattern, as presented before.

Generally speaking, I defined the price movement pattern/trend as three kinds: trend up channel, trend down channel, and no-trend zone; See the previous post regarding these here.

So far, since March, the chart has formed 2 no-trend zones during the UP trend ! These no-trend zones are very helpful for future market development, that's why I mark them here in the chart today. The importance of these no-trend zones has been previously described in a short post.

One conclusion I can throw out here is: Unless the no-trend zone is successfully broken down, being a bear is very very dangerous ! This is the big picture so far ! Namely, wait until the broken down of the no-trend zone to act as a bear in the market is much safer and smarter !

The end of this UP wave will create a new DOWN wave based on the symmetry pattern, as explained before. The fate of this expected coming DOWN wave is listed as following:

• Break down the no-trend zone, and destroy completely BULL's hope !
• Form a new no-trend zone, and destroy completely Bear's hope !

So how the expected coming DOWN wave performs will determine both bear and bull's fate again ! As usual, the market will dynamically evolve, so do our analysis ! Our analysis and predictions have to be dynamic in order to follow the trend ! That's the only way to make money from the market, just follow it !

Livermore once said: "Men who can both be right and sit tight are uncommon!" I totally agree with him! During this UP wave, I have bought in BAC around $3, but I sold them all with pretty nice profits. This is not good, in my opinion, even with profits. Because the whole UP trend of BAC is not clearly done yet, to date. I should keep some free shares until the complete of the BIG trend. Learn how to let the profit run through the whole wave cycle is very very important ! One way I am thinking is the 80-20 and 50-50 rules. Always keep some free positions if you think the big cycle wave is not done yet ! Another thing to do is to keep some distance from the market !

What a push up so far !

What a push up so far ! Higher high is created again !

Very very nice for the bulls !

Only ~30 points to my predicted NASDAQ target.

I hope you are still holding some longs and are waiting for the predicted NASDAQ target !

After taking more profits at ~1960 this morning, I still keep some longs with nearly no cost to wait for my predicted NASDAQ target to be fulfilled !

QID is heading to 20, as predicted before ! Below are the words quoted from previous analysis when QID is still above 32. Today it is heading to 27.

"I also believe QID will retest 30 very soon, if not tomorrow ! If 30 can not hold QID well, I think it will go to the next level, namely, 20. Remember, QLD found the bottom when it broke 20 ! I strongly believe QID will have a good chance to break 20 as well ! That's when the market may hit a real top !!!"

Reviewing previous thoughts are quite helpful to improve our visions !

Crossing my fingers !

Another beautiful up day for the bulls !

Today is another beautiful up day for the bulls ! As predicted last night, "Usually, this is a very bullish sign and it tells us that, tomorrow a new higher high will be created. " Today, NASDAQ made a new higher high of 1934.61 !

To date, the NASDAQ has been closed UP for 11 days in a row. In these 11 days, the NASDAQ index has been up for ~207 points (from the lowest starting point 1727.05 to the current highest point 1934.61) or ~ 12% gain ! What a wonderful bullish run up wave ! Only 60 points away from my predicted NASDAQ target, namely, 1995. Here is the link to the analysis of the NASDAQ target.

Below are the words quoted from the initial call at the start point of this magic UP wave.
"A very very nice day for bulls !As predicted last night, 1750 is the key level for NASDAQ !And today the market just fluctuates around the key level 1750. But finally, the bulls win, because it stands above 1750 at the close. More important, it closed above the year line with about 10 points gain !Very nice."

Since then, I have always update "Today's market close prediction" in the side bar as "UP" until today ! I sincerely hope you didn't miss this run if you read the blog every day!

Today, I noticed that both DOW Jones and S&P 500 show some weakness, even though NASDAQ still closed in green ! If tomorrow, both DOW Jones and S&P 500 continue their weakness, I am worrying NASDAQ may be dragged down by them. On the other hand, both Dow Jones and S&P 500 may be dragged up by NASDAQ ! So, pay attention to their cooperative moves !

As predicted before, the death of this magic UP wave will produce a new DOWN wave for sure, based on the beautiful symmetry pattern. So stay alert and get ready for the coming DOWN wave !

In order to avoid misleading, I have removed "the 10 bagger stock watch list" from the side bar. I will focus more on the general market predictions, rather than individual stocks, although some time I may mention some individual stocks because of their nice chart patterns. So, we can learn from these nice chart pattern set ups.

A very nice intraday reversal today

A very nice intraday reversal today !

Usually, this is a very bullish sign and it tells us that, tomorrow a new higher high will be created. For example, tomorrow NASDAQ will have a chance to make a new high of at least 1918 ! Because today's high is 1917.46.

Now, the NASDAQ has been closed UP for 11 days in a row. In these 11 days, the NASDAQ index has been up for ~170 points or ~ 10% in these 11 days. What a nice moving up for this up wave ! I hope you all have caught this strong up wave and made some nice money! Being able to ride with such waves is our goal to do the daily analysis here. Fortunately, I didn't miss this mad bullish moving up! I hope you didn't miss it as well. Please see below the data for details:

21-Jul-091,917.391,917.461,892.171,916.202,205,230,000 1,916.20
20-Jul-091,896.991,909.891,890.001,909.292,046,350,000 1,909.29
17-Jul-091,880.311,887.341,873.811,886.611,876,760,000 1,886.61
16-Jul-091,856.051,887.891,854.701,885.032,072,730,000 1,885.03
15-Jul-091,827.611,863.291,824.311,862.902,543,340,000 1,862.90
14-Jul-091,790.701,800.731,782.851,799.731,856,910,000 1,799.73
13-Jul-091,761.031,793.211,736.951,793.211,899,410,000 1,793.21
10-Jul-091,744.611,764.111,738.261,756.031,658,010,000 1,756.03
9-Jul-091,756.971,763.631,747.441,752.551,868,280,000 1,752.55
8-Jul-091,756.001,757.671,727.051,747.172,467,520,000 1,747.17
7-Jul-091,787.441,788.971,745.381,746.172,027,240,000 1,746.17

Now, I want to warn all my friends that the market pulling back could happen any time from now on ! So being alert of any market topping signs. Yesterday, I have pointed out that the next wave will be DOWN wave, and I am 100% sure about this based on the simple symmetry patterns.

I took more profits today and plan to do so tomorrow as well! Every time the market goes up to a new higher level, I will take some profits on the longs !

So far so good !

So far so good !

The market continues the climbing up trend, as predicted !

My predicted NASDAQ target remains unchanged, to date !

QID is heading to 20, as predicted before ! Below are some words quoted from the previous analysis post:

"I also believe QID will retest 30 very soon, if not tomorrow ! If 30 can not hold QID well, I think it will go to the next level, namely, 20. Remember, QLD found the bottom when it broke 20 ! I strongly believe QID will have a good chance to break 20 as well ! That's when the market may hit a real top !!!"

The nature is very beautiful ! So are the financial markets ! Many many beautiful patterns are formed during the market price movements. Among tons of beautiful patterns, symmetry is one of them. Moreover, symmetry is the simplest one ! Take NASDAQ's daily chart as an example:

1773 down to 1664 (~109)then
1664 up to 1767 (~103) then
1767 down to 1677 (~90) then
1677 up to 1879 (~202) then
1879 down to 1753 (~126)then
1753 up to 1861 (108) then
1861 down to 1727 (134) then
1727 up to ??

I bet you already observed the symmetry pattern: down always followed by up, up always followed by down. Isn't it very very beautiful !! This pattern is the basic and fundamental pattern I should notice when I am reading the chart !! In a simple sentence: "Every trend has a beginning and an end!" This is very very important for our trading and investing ! It tells us the absolute true thing about the market ! For example, now we can say, ABSOLUTELY for sure, the market's next wave is a down wave ! No doubt about it at all !!

So enjoying the beauty of the chart patterns can not only help us to understand the market very well but also to improve our trading skills !

Again, symmetry is the most fundamental and simplest pattern in the financial market charts.

I also took some profits today ! Every time the market goes up to a new higher level, I will take some profits on the longs !

Always remember:

• the market top only forms in the bullish up !
• the market bottom only forms in the bearish down !
  

Another 10 bagger stock pick is doubled today!

Another 10 bagger stock pick is doubled today !

Very nice.

When I alert TYPE here on May 4, Its low is 3.57. in about two Months, it is more than doubled and now is heading to $8 !!

The previous post is here.

All of our 10 bagger stock list have been doubled since alerted here ! For the update on these 10 bagger stocks, please refer to the side bar column.

Fortunately, I didn't miss this mad bullish run up wave since March, 2009. My predicted NASDAQ target remains unchanged, to date! The chart I used for the target prediction is still valid.

Gold looks good

Gold looks good so far. The Dollar dropped a lot !

All of these might be good for NGD to run up, especially when 2.85 is broken out !!

NGD's major resistance levels: $3.00, $3.30, and $6.5.

Previous analysis of NGD can be found here !

VRTU - close follow up - 2