Market report 6/20/16: Brexit rock and roll fizzles into Hezbollah malaise

USD/CHF rose to 0.9621, 6 out 9 USD/CHF stochastics up, gold crashing down to1292, backing of from upward resistance. $DJI market knocking down on ever lower support levels. Yellen danced few steps on the Brexit speculation that "Remain" will win, but market closed a tad above the cover short stop of 17800, resulting in a gain of 25, total Cumulative Gain since 11/20/15 5845 points. A news from Las Vegas that a British citizen was arrested trying to shoot Trump during rally in Treasure Island Casino brought some sense to the maddening crowd, and the market closed at 17805, a gain of some 129 points.

Idle time is evil time old timers used to say, markets threading water, hedge yourself, VIX sharp drop is a sign of coming turbulence due to the Brexit saga. DJI Futures +31, market tested 17950 and closed at 17805. 
6 out of 9 stochastics are up, the New World Disorder crowd still hopping for an explosive rally due to Brexit win, Trump demise and another glorious 8 years of insane money printing by the Fed despite that a fresh daily downtrend signal may lead to further weakness. US is facing a Constitutional crisis and uncertainty, hence drop below 17600 will test support at 17128, with next stop at 15,500 and breakdown to 12830 mid-point since 2008. Consult Sorbane's "Ziban Must Die" for further chilling details.

On the DJI monthly chart the market is in 8th month of monthly down trend, and the money printing has led to a trend reversal upward, first buy in almost a year. A breach of the top formation of the upper corner of the declining tops triangle resistance bounded above by the 17803 and below by 17,504,16,975, 15,946,15,370,and 12081 mean support bands is still possible, but in doubt. Watch for DJI breaking support and gold breaking over 1282 after correcting to lower 1200.


Gold /GC lost ground on dollars reversal to 1292, right below the resistance level, 5 out of 9 short term stochastics are up, a break above 1350 now ahead, resistance 1352, support 1168, long term support at 1045. The strenght of the metals is a clear indication that fear is creeping in the hearts of investors and Obama rats are jumping overboard to safety. USD/CHF is down to 0.9621, a reversal and good correlation with gold, higher interest rates shelved again byYellen, and again ,..., a break below 0.9432 will lead to a drop at 0.7, a crash, USD/CHF in a long term decline, a bear market rally last four months now topping out, 6 out of 9 stochastics down, yuan uptick may force rates hike finally on the horizon, even from Yellen but not for sure until Hillary is or if elected. Disclaimer: Investing in the stock market involves risk of loss. The market commentary provided by bibi1581.blogspot.com is for entertainment purpose only, and it is not to be construed as suggestion or investment advice to buy or sell securities. Always consult a registered investment professional or broker before committing money to any stock or option instrument. Bibi1581.blogspot.com is not responsible for any direct or consequential losses incurred in violation of this disclaimer. Read all SEC rules and regulations before making investment decisions.

Comments

Popular posts from this blog

BIBI New Home: bibi1581.com

Bibi1581 Blog 9/29/2017:ME

Bibi1581 Blog For 9/13/2017: Morning Edition