The year highs of 2010 in price and time

The year-end rally has picked up speed. Wherever you’re looking there are buy signals in the US indexes. Silver and gold are shiny. I’m going to calculate the very moment of the year highs in the US stock markets today. It’s a pretty tricky job because the indexes are putting out some different times.

Let’s begin with the S&P 500, namely by the actual daily 8 Candle GUNNER24 Up Setup:

As predicted in the last issue the US indexes have begun resuming the rally. Even the late risers S&P 500 and Dow Jones crept out of their starting holes. On Wednesday, the S&P 500 itself took the resistance diagonal red dotted in the chart impressively. Since we had us stopped in case of a daily close above 1199 with Friday we net a good profit. SL is our entry at 1206. But now with the beginning of the week the market is ahead of the year high at 1233 targeted by GUNNER24 for several weeks already. That’s where we’ll have to cover the longs.

December 8^th is lying on a time line, and the market is likely to turn again into the direction to 1200 on Wednesday at the latest in order to re-enact the resistance of the 4th double arc. There, at 1200, at the primary Gann Angle the S&P 500 ought to end its down swing running upwards until the end of the year. At 1200, with the expected rebound from the primary Gann Angle we’ll look for a new long entry with target 1267. Watch the reversal candle technique for the long entry, please! I can’t assess yet whether the price will pass the 1233 by the end of the year.

Yeah, there’s a special significance about the 1233 – to be able to evaluate that resistance the right way let’s have another look at the month analysis four weeks ago, at first:

In the final analysis we’re talking about the comportment of the price at the upper line of the second double arc in the monthly GUNNER24 Up Setup. Four weeks ago it was obvious that the resistance should not be easy to overcome, necessarily resulting in a counter trend reaction. But since that line was NOT touched it was likewise obvious that it will have to be called at by the market again, simply to work it off, so we were talking about a “mini correction” or a “counter reaction”. Why? – Well, it’s just natural that the 1233 have got to be tested because they are representing an extremely strong price and time magnet. That’s why GUNNER24 has always been prepared to go long in case of a corresponding signal on daily basis.

In the 3 Candle GUNNER24 Up we’re making out that not only the upper line of the 2nd double arc is taking its course at the 1233 but also the resistance Gann Angle is. The latter makes it actually impossible that the December could close above it. BUT…since in the daily 8 Candle GUNNER24 Up above and in the actual weekly GUNNER24 Up the 1267 are put out unequivocally as to be the main target actually demonstrating a very strong upwards energy there might be an attempt to break the 1233 as early as in the course of this week. If it succeeds it would be another strong long signal. A day closing price of more than 1245 makes it most likely that a break of the 1233 should be final, considering the lost motion. That’s why on daily basis we’ll go long with another position if the S&P 500 breaks the 1245 on closing price basis until Wednesday.

And what about the NASDAQ-100 year high now?

We are making out the Gann Angle corridor dominating the market. If we go on bouncing to and fro within the upper and the lower limits after another rebound from the primary Gann Angle December 15th might be marked as to be the year high. That’s where the important time line is lying, the middle of the just passed square. Target for our longs are the 2234, that’s where we’ll cover. Even though the corridor is being broken upwards. 

Because:

Gold weekly:

Pay attention to the analysis of last week, please. Click here. Until the 01/21/2011 Gold should reach at least 1474, maybe even the 1493. By Friday closing we went long at 1416 (SL 1365). Just like anticipated by GUNNER24 gold is unequivocally in the acceleration area which allows quick price moves. In the case of gold on week view upwards, of course…

Gold daily:

As expected the GCZ0 contract broke through the 5th double arc. That’s why at 1386 we went long with the actual GCG1 on Tuesday, as announced. On Friday the forecast target of 1413 was reached. Which will be the continuation on daily basis next week?

In the actual daily 2 Candle GUNNER24 Up Setup of the GCG1 contract the next target, the 4th double arc is at 1433. It should be reached Thursday at the latest. Before, on Monday/Tuesday the setup-anchored red dotted resistance horizontal should offer resistance at 1420, at least in the 1 hour and in the 4 hour time frames. By overcoming that resistance the 1433 should be targeted very rapidly.

Since we are in a very strong upwards trend not expecting that the 4th double arc would represent a larger hurdle we’ll put some more with another long position if gold adjusts more generously after reaching the 1433. The primary Gann Angle is an obvious correction target. In case that angle breaks on closing price basis the SL will be released. At the primary Gann Angle we will trace the SL on daily basis. Likewise we’ll open another long position on daily basis in case of a significant break of the 4th double arc (pay attention to the lost motion!). 

Silver monthly – What the hell is happening to our planet?