01/07/2018: Markets rallied another 2% as Investors are hoping for higher profits. Volume was lower on the Holiday week.
Not much should change until the Commodity Index breaks out above 196.36 to the upside. The Bond Market watches this Index to determine if Inflation is picking up. Most Investors are currently not prepared for Inflation.
LONG TERM TRADES
The Funds below are currently out of favor, but historically these could possibly Double or more from these lower levels. We are looking for a good Entry Point for these, but need the entire Economy & Inflation to pick up speed:
DBC COMMODITY FUND Relative Strength is back Below 90.
GRPN GROUPON INC. Wait for Break Out above $5.99 on High Volume.
JJC COPPER FUND Wait for the next Green Zone Buy on the Daily Chart.
KOL COAL FUND Wait for the next Green Zone Buy on the Daily Chart.
LL LUMBER LIQUIDATORS Relative Strength is Below 90.
REMX RARE EARTH FUND Wait for Green Zone Buy on the Daily Chart.
TWTR TWITTER INC. Wait on Break Out Above $25.25.
UGA US GASOLINE FUND Volume is too low… Break Out Above $33.07.
VALE VALE DE RIO Wait for the next Green Zone Buy on the Daily Chart.
Alert! Market Risk is HIGH (Red Zone). The probability of successful Short Term Trades is lower, when the S&P 500 is Way Above the Green Line. Even the Strongest Funds can get chopped up. Either take quick gains from Money Wave Pops, or STAY IN CASH & WAIT for a larger correction.
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