Thursday, May 5, 2011

FLASH CRASH?

The market is sliding into the close. Tomorrow is the anniversary of the "flash crash". Are we going to see it happen again?

1 comment:

  1. Hey Jerry,
    Great warning on SLV, that was excellent timing. It saved me from eating a lot of crow. I have been patient and am looking to set-up a leap on AGQ (Ultra Silver ETF). For ease of analysis let's talk about SLV, It appears this sell off is a larger wave 4 but it would be nullified if it trades below 30 or so, overlapping with larger wave 1. Also, there is a trendline that lies right above 30 there as well, from August lows through the bottom of larger wave 2 in late Jan/Feb 2011. We are close to bouncing, which should be a wave B in an ABC wave 4 correction. How's it look to you? If we go below 30, it's voided and the correction could take us down to 25 or so, there is support and the 200 DMA and congestion from the initial rally from August 2010 around 25+. Can you take a look and tell me where you see the wave count, I want pick-up calls around this level -10% or so (34-31), below that (30), I will stop out. Thanks!

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