Last Update: 8/27/2018
7/12/2018
Dow has been the most struggling index compare to SPY, QQQ & IWM. Most traders see this as negative, and say, ‘stay away from DIA’; I’d say, don’t chase IWM or QQQ but get in DIA as it will catch up to the other indices. As you know I’ve buying the dips on DIA and still holding full CALL-positions as of today (check my time-stamped tweets below). Higher lows are well-defined as you can see my trend line (blue dotted line), and 255-level is the level to overcome for the bulls to really stretch it’s wings. Last few days we did see back to back gap ups and down, and currently have this bullish island reversal formed, I think this one is staying for the push. QQQ have been cultivating new all-time highs and same with IWM, I believe DIA will do the same in due time. Let’s see how it plays out, I am holding everything as of today.
TIME-STAMPED
• ENTRIES: 246.10, 242.44, 249.73, 246.49 •
7/25/2018
DIA is, now, finally back at the 254-level. This level will be the pivotal level before it can truly take off. DIA has been cultivating higher lows (blue dotted line), and it just needs higher high (we don’t have it yet in the intermediate-term) to inaugurate real uptrend here. I’ve been battling bears on DIA since the April buying the dips as much as I can; it looks like the bulls are starting to turn things around here looking at the momentum last few weeks. Current resistance to overcome for the bulls is 254-level, should the price decline we want to see bulls protect 251-249ish level to keep this minor-term bullish momentum going. As of today I am holding all of my CALLS – more updates later.
TIME-STAMPED
• ENTRIES: 246.10, 242.44, 249.73, 246.49 •
8/3/2018
“Gap 1, 2, 3” are still open, which is a good sign for the minor-term bulls here. Current battle ground is 254-level and then 257 just right above it; SPY (see today’s video) has reclaimed, retested and bounced on the prior resistance level (which is 257 on DIA) but not yet on DIA–but I think it will follow SPY soon. DIA, still, has not yet filled the gaps from 1/31 & 2/2 (SPY has already filled those gaps) so I think it will be the battle of the gaps going forward. If we can protect “Gap 1, 2, 3” (at least 1 & 2), I think bulls will find strength from these gaps to gather some momentum to the upside and fill those 1/31 & 2/2 down-gaps. Let’s if we can clear and stay above 257-level next week; if decline, let’s see if we can hold the gaps. I am holding all of my CALLS as of today.
TIME-STAMPED
• ENTRIES: 246.10, 242.44, 249.73, 246.49 •
8/9/2018
Here is the good news for the bulls in the overall structure; take a look at the blue arrows–you can see that we have, now, cultivated equal highs coming up to the 2/27 highs. This means we are no longer in downtrend-threat from the bears, but with this cultivation we can now categorize this as 6-month consolidation (base). So, bulls are slowly turning the table here and the victory is getting close upon breaking out of this 6-month consolidation. Typically, when the price reaches the prior pivotal-high like this one, it tends to pullback to give one last shake down for the bulls and give another hope for the bears. The bulls want to protect 249-250 for this minor-term momentum to continue to the upside should the price decline in the next coming days. Is it possible to breakout of this base without pulling back? Yes, if we can hold above 253-254. Let’s see how it plays out, I am holding all of my CALLS as of today.
TIME-STAMPED
• ENTRIES: 246.10, 242.44, 249.73, 246.49 •
8/16/2018
Dow led the market today with impressive +1.66% gain (S&P 500 +0.93, NASDAQ +0.33%). This is the third time bulls are charging up here to break above this ‘wall (horizontal red)’ in less than a month. Bulls must dismantle and crack this wall and charge forward to find authority in this battle. Prior gap has been filled (which acted as support last two days–good deploy there from the bulls to protect the ground) and the new gap has been opened (which is very good if the bulls can sustain (keep it open) it). Let’s charge it forward and crack this ‘wall’, and 260 is the next real-estate to take it from the bears. As of today I am holding EVERYTHING.
TIME-STAMPED
• ENTRIES: 246.10, 242.44, 249.73, 246.49 •
8/19/2018
On Friday, during the mid-day, I have added more CALLS at 255.99 (adding more into what I was already holding–see “entries” below) anticipating a breakout above this ‘wall’ of 256ish resistance. Best way to breakout of this will be with a gap up and holding above 257.70ish. If we do see the price decline here, we want to see the gap area holding at 254.40ish for the minor-term momentum to continue to the upside. Bulls still have the down-gaps to fill at 261.70ish and 264.30ish to break the bears spirit. 256 – 258 will be the pivotal and important level for the bulls to crack before marching it up for the new all-time high victory. I am holding EVERYTHING as today; more updates later.
TIME-STAMPED
• ENTRIES: 246.10, 242.44, 249.73, 246.49, 255.99 •
Above chart screened during the mid-day on Friday
8/27/2018
Bulls made major progress here just in the last week and half.
- Finally broken above the major resistance (red)
- “7-Month Base” is now confirmed as base (as it has broken above it and currently staying above it)
- Retested the resistance (see arrows) last Thursday and Friday, and broke out with the gap up today
Interestingly, Dow lead the market today once again (DIA +1.06% vs SPY +0.79%)–surely, Dow lagging was opportunity to be exploited. Should the price decline in the next few days, we would like to see 259 – 256 hold for the bullish momentum to continue in the minor-term. As of today, I am holding EVERYTHING–more updates later.
TIME-STAMPED
• ENTRIES: 242.44, 246.10, 246.49, 249.73, 255.99 •
SPY: “Be Greedy When Others Are Fearful (FOLLOW UP)“
