By Ramki on December 29, 2009
One of the reasons why traders should learn Elliott Wave Principle is because it gives you clues about the changing whims of the market much before any other system can. Remember, NO ONE can command the market to do as he interprets the charts. However, a smart analyst can tell you a low-risk entry level, and also advise you how to monitor your position. You just cannot take a position, lock it away in a box for a few weeks/months and hope to come back and see it delivering a big profit. You got to watch the market and take action as the market dictates.
The short term chart for Gold is telling us that the downmove from 1226 is probably not over. So we should exit our longs NOW. Have we changed our expectations for a rally in Gold? No way. We are still saying Gold will experience a significant move higher, at least 38% of the decline from the top, which means AT LEAST $68 from the lows, or in other words between 5 and 6% higher once we finish this decline. That is the minimum! In order to capture a 6% move, we should risk no more than 1% to 1.5%. It doesnt make sense to trade otherwise. For all these reasons, we have to step aside now and wait for the correction to finish. Kapish?
Posted in Uncategorized | Tagged elliott wave analysis of gold
By Ramki on December 24, 2009
Now that Gold has staged a smart recovery from the lows, [ and is likely to close the week above 1100 
], I thought it will be instructive to post how one should have traded this final fifth wave. As always, you will find the comments written on the chart itself. Briefly, one could have used a 50-61.8% retracement to go long, and placed a stop below the prior low. More on the chart of Gold. Enjoy!
Posted in Gold
By Ramki on December 23, 2009
Many investors and traders must be wondering about the immediate direction for Gold now that we seem to have come well below the 1100 level. My previous comment had said we need a weekly close below 1100 to cast doubts on the call for a fresh surge in the price of Gold. Today, I spent some more time to add some flesh and blood to my previous comments. This will help you approach the markets with more confidence. As most of what I wish to say is already on the charts, I will save you time by inviting to click right away on the images to the side. Enjoy. P.S. If you were a careful observer, you would have noticed I changed the label for the 2nd wave in the final fifth. That doesn’t change the big picture. A Wave Analyst who trades the market should be flexible and have reasons for trying out the best fit
Posted in Gold | Tagged elliott wave analysis of gold
By Ramki on December 17, 2009
National Industries Group stock has come down a lot in the last several months. But we can decipher a clear five wave movement having been completed at the lows. The first leg of a 3-wave correction has already been completed, and the second leg is probably already over, or very near completion. Thus, I am recommending being on the alert to buy this stock for a move back to 830 area. Additional comments are on the chart.
Posted in Kuwait stocks | Tagged National Industries Group Kuwait
One of the reasons why traders should learn Elliott Wave Principle is because it gives you clues about the changing whims of the market much before any other system can. Remember, NO ONE can command the market to do as he interprets the charts. However, a smart analyst can tell you a low-risk entry level, and also advise you how to monitor your position. You just cannot take a position, lock it away in a box for a few weeks/months and hope to come back and see it delivering a big profit. You got to watch the market and take action as the market dictates.
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