This is IT….
The Crazy period has run it’s course. It is not like me to post twice in one day, I view myself as a macro trader, why would I be looking at the market at 2:15 PM CDT on the day before the GDP numbers come out.
It is simple, the numbers are coming together, this is a number’s game in the end, no matter how much Bernanke and Yellen try to change the game. The swing point of this top formation on the weekly charts was on 4/18/14. What this says is important from a swing point analysis. The close on that date was 1865, the low prior in this top formation was 1814, and the highs today will be in the 1913-1915 area.
Maybe of even more interest is that the whole deflation pattern is asserting itself. Gold is acting like a dog, and Bonds, using the TLT etf as a marker have a major swing point of 124 and a trading range of 106 t0 124 with a minor swing point at 116 during this phase of the QE. To me that means as deflation ignites and TLT holds above 116, we will see a TLT price level of 147.