Talk about persistent divergences. Every time in the past these have gone on for several days I've had the occasional email, "Is 3C not working right?", remember 3C is suppose to contradict prices. In every instance of Es showing a persistent divergence like this, the market made a big move, the last was on May 1st in to a persistent leading negative divergence as prices were moving in a parabolic move up. That same day we not only predicted the fall and the move to be a head fake, but exactly what the fall would look like. I and many of my long term members have had enough experience with 3C to trust its signals, we may not know why smart money is doing something, but we know they are up to something that price doesn't reflect yet and this is how we've been able to set up some of our best trades.
A broken watch is right 2x a day? Yes of course eventually the move will come, but 3C has proven its value in that the moves come and surpass where the divergence first started, FB yesterday was a perfect example, had you bought on Tuesday when the divergence first started (it was very small on Tuesday), yesterday you would have been in the green and I don't think FB is near done.
Now, ES...
Stepping back, the divergence is even bigger than first thought.
Is interest rates about to start going up?
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Yes, I know - it does not make any sense - FED is about to cut
rates...but....real world interest rates are not always what FED wants it
to be.
5 years ago
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