This is a market in which I do not trust my charts of individual stocks nearly as much as I trust the macro, ratio and indicator charts. And because those are giving mixed signals each week and have not conclusively triggered a viewpoint, I am not ready to fly by them either.
But with the macro indecision (Copper/Gold as but one example) and the Fed at the controls trying to stuff inflation expectations back in the box they sprang from I just don’t trust individual stock charts. Like Lithium Americas (LAC), for example. A perfect short-term Head & Shoulders pattern has formed. There sits the ugly pattern at its neckline, which happens to coincide with the rising 50 day average.
Men who stare at charts… to attention!
It is Fed week, the machines are all over the place and I am not touching this from the short side (and certainly not from the long side either). But typical of the 2021 market, I would not be the least bit surprised if this thing holds and re-bulls. But boy, that’s a disgusting pattern. It’s not yet active, but take out the SMA 50 and it sure would be.
For “best of breed” top down analysis of all major markets, subscribe to NFTRH Premium, which includes an in-depth weekly market report, detailed market updates and NFTRH+ dynamic updates and chart/trade setup ideas. Subscribe by PayPal or credit card using a button on the right sidebar (if using a mobile device you may need to scroll down). Keep up to date with actionable public content at NFTRH.com by using the email form on the right sidebar. Follow via Twitter @NFTRHgt.