Stocks Break to the Upside – Break Pivot Price Point
Below is yesterday’s chart posted to the www.money-tigers.com website.
I intended to post it here as well for members of the Group to view but the transfer somehow was misdirected. At any rate, the predicted pivot price area did become the explosive launch point but, upwards instead of downwards.
There’s an expected pause to the upwards movement that should take place at the end of the week on Friday.

First posted at www.money-tigers.com 02/10/14:
Feb. 10th, 2014:
A Potential Pivot Point for the Stock Market
The present retracement in the stock market has reached an important pivot price point.

The chart to the left shows the present pivot price point of interest for the stock market.
The recent down slide in price remains intact until we cross certain price thresholds.
The red downward triangle is pointing to the critical price level to watch for the DJIA.
Should prices rise rapidly above the present price level, I’d consider the downswing to be completed and a renewal a new upswing to be underway.
In addition, on a daily basis, WD Gann timing techniques favor this day as a top with another turn point 3 days into the future to watch.
Have a great week ahead. – George
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Week of Jan. 13th, 2014:
The Dow Jones Stock Index This Week . . .

Where are we in the Stock Market this week?
As we’re presently pulling back some from the recent top, we find ourselves poised between the two price areas shown on this chart with the green and red horizontal lines.
The green line at the top shows a strong price resistance point at the 16,500 right now. It will take a little pause and pullback in price to ready the market momentum for a new surge upwards to break through the green line price level.
On the other hand, the market itself has a strong support price area at work at the 16,000 price area as shown by the lower red line below present prices. It’s entirely possible that prices may decline this week, however, they’re likely to stay above the support area while doing it. – George

Stock Market Breaks Price Support Level
As was illustrated a few posts back (see lower on this page), the Stock Market was working within narrow price parameters bounded by 16,000 on the support side.
That support was broken Friday and, even though this support is only based on the last month’s price momentum.
You can see the break in the support price line on the chart to the left shown by the black horizontal line.
A further examination of the broader Russell 2000 index shows similar weakness at present.
Here again you’ll note the black support line on the chart which has now been broken.
There’s another potential support price level around 1120 on the Russell 2000 where price may find some resistance to further decline.
As this break in support is happening on a 30-stock group (the Dow 30) and with a group of 2000 stocks (the Russell 2000 index) it would be well to take notice of what may be an early warning of weakness ahead in the markets.
These shifts could be the beginning of a really important downtrend, but, we’ll have to watch another level to be sure of that.
The chart below shows that a very important milestone will be . . .
JOIN HERE NOW TO READ THE REST OF THIS ARTICLE.
[private_WD GANN TRADING SECRETS GROUP]
The chart below shows that a very important milestone will be prices holding above the 15,250 price level.
Prices dropping below that will signal a big drop in the Market ahead.
The Market has made a big run-up and is due for a correction and, this could be the beginning of that event.
The Nikkei 225 is close to a pivot point in trend which would indicate a global downturn should it and the US market break further.
The Stock Markets globally need to be watched carefully this week.
Observe how the markets behave this week.
Are prices falling freely without resistance?
Or, are prices fighting the decline (which would at least show that insiders are buying the dip and would provide a healthier sign of commitment to support prices).
The professionals have to stay in the market for the market to sustain and continue it’s growth.
But, they’re the first to respond to the actual fundamentals and can give us clues on which way to expect prices to flow. As we’ll never know the inside information that they have access to, their response to market prices will lead the way for the market in general.
If the pros step back, then, the market will fall precipitously and quickly.
Watch for signs of either support or lack of support to prepare for the path ahead. – George
[/private_WD GANN TRADING SECRETS GROUP]

CRUDE OIL: Turning Upwards? . . .
As promised in yesterday’s member letter, here’s the Crude Oil chart for today.
Please note: This is a very short-term chart which will be of limited duration in it’s projections.
This is posted just to show that the WD Gann technology works even at intraday levels for Time.
The low support level will be important for hours if not hit early while the upper resistance price level will be of shorter duration as it’s expected to be touched very shortly.
Again, the principles behind these last few day’s projections are the same ones used by Mr. Gann in his day. Those principles won’t ever change and their applications hold for today’s markets just as in the last century. – George

GOLD Takes It’s Turn . . .
It looks like we’ve arrived at the moment the Gold Bugs have been hoping for; a bottom and turn upwards for this market.
Gold bugs have been clinging to hope now for a long time, all the while losing money as gold drifted lower and lower.
The upturn I’m discerning now in gold is not based on something as nebulous as hope, but, upon the natural law principles based on mathematics that WD Gann put so much faith in over his trading career.
The market itself will make the final decision of course, but, I think we’re on solid ground and have pinpointed a limited risk scenario here (outlined by the green and red lines shown on the chart).
This new uptrend is still early in it’s development, but, the earliest signs of Gold’s building strength are starting to reveal themselves. The chart above shows the present parameters for price support and resistance.
The resistance line to look at is shown as the horizontal green line. If Gold can rise above this price resistance point, then, higher prices are most likely to occur according to the WD Gann models. If prices rise above the green line, then the first objective for price resistance on the upside I’d look for would be $1275.
At the same time, as we’re still early in this move, we need to observe the red horizontal support line. Should prices break below this support, then, the new uptrend will sputter out and shift back downwards again. – George

The Dow Jones Stock Index This Week . . .

Where are we in the Stock Market this week?
As we’re presently pulling back some from the recent top, we find ourselves poised between the two price areas shown on this chart with the green and red horizontal lines.
The green line at the top shows a strong price resistance point at the 16,500 right now. It will take a little pause and pullback in price to ready the market momentum for a new surge upwards to break through the green line price level.
On the other hand, the market itself has a strong support price area at work at the 16,000 price area as shown by the lower red line below present prices. It’s entirely possible that prices may decline this week, however, they’re likely to stay above the support area while doing it. – George

Previous Article:
The ‘Seasons’ of the Markets

The Markets, as with Nature, also have Seasons of Spring, Summer, Fall and Winter
Nature’s Analogies: A Master Tool for Market Positioning
By GR Harrison – www.wdgann-lost-secrets.com
An Analogy is something ‘like’ something else in it’s behavior or nature and, was the basis of WD Gann’s work as it was a most useful way of understanding the World and the actions of things within it.
WD Gann worked from the Principles of Natural Law and, this system of thought took basic Principles and showed how they reflect throughout every level of existence at both the macrocosm and the microcosm levels.
The Ancients observed it and understood it’s applications.
As Natural Law was purposely removed from the educational system of today, we’ve lost connection with this valuable knowledge and it’s uses with all things of this World.
And, this includes the Markets. The Sages of old summed this Great Law into this short phrase . . .
“As Above, so Below”.
Man, despite his ‘intellect’, is not immune from working within the matrix and laws of Nature and those experiences which we all share can teach us great insights even into something so mundane as the markets and their price movements.
WD Gann depended on the reliability of it and, it never let him down. He wrote that one should always note where a market was in it’s ‘cycle’. Much like knowing whether one was in Summer or Winter would affect how we dressed and conducted our affairs. We know this instinctively now because we’ve come to learn (through experience) that each season of the year has it’s own characteristics and qualities.
The same would hold for Markets and their price behavior.
For instance, when the analogy of the Seasons are applied to markets, we can discover WHERE we are within the ‘Seasons’ of a Market.
When we know WHAT SEASON we’re in within a market’s cycle, we’ll know immediately what the next season coming will be and may take precautions and use our technical tools to watch for early indications that our present season has ended and the new one has begun.
For example, in the GOLD market many have ignored the seasons of the Gold market and substituted hope instead of reason (due in large measure to the constant promotion to buy gold by media and internet sources).
However, Summer doesn’t last forever and we must individually awake to the reality of the Season we’re in.
Much as with those who still speak of global warming while in the midst of the coldest winter conditions in over 20 years.
There’s no difference in the argument and, in both cases, there were plenty of early clues to the shift in trend (weakest sunspot cycle in 190-years and declining (instead of climbing) global temperatures: see chart).
And, just as there was a warning of the turn in trend for Gold after it hit it’s Highs in 2011 and then broke it’s upwards momentum to a sideways trend.

Global temperatures are trending downwards not upwards according to this government satellite data. The long-term ‘Season’ of warming has ended and the long-term ‘Winter’ has begun.
No one knows why these trends change, but, then, one doesn’t really have to know.
Just following the trend and the ‘Seasons’ of the markets or the Global Climate (while keeping an open mind), will, at least, keep us on the correct side of reality versus the fiction of the moment in mainstream ‘news’.
In both cases, there are Grand Seasonal Cycles at work which have changed (while those following them have not noticed because they’ve been trapped by their own egos into holding a single, unwavering opinion no longer based in fact.
Realities are not issues of ‘political correctness’ or subject to social acceptance and the Laws of Nature can’t be voted into or out of existence.
We may not like the Reality. But, that doesn’t change it or it’s effects upon us if we ignore it or, worse, try to fight it.

The cycle of ‘Seasons’ for the S&P 500 Index. If ‘Summer’ is here now, it’s certain that ‘Fall’ will surely follow . .
CLICK ON CHART TO ENLARGE FOR CLARITY
I’ve included another ‘Seasonal’ chart for your consideration.
This one is for the S&P 500 Stock Index.
There are several complete ‘Seasonal’ cycles that have taken place over the course of the time period covered on this chart (back to the 1970’s).
The market’s most recent actions have taken us from ‘Spring’ back in 2009 and on into ‘Summer’ which we’re still enjoying.
Of course, no one basks in the sunshine of Summer forever.
The turning of the Seasons WILL come.
There’s nothing to fear in that.
Just preparations to take and signs to anticipate to know when the change has come.
Most fear the markets at these levels and that fear creates hesitation leading to lost opportunities.
Fear is the chief obstacle to overcome in all things and trading is no exception.
Frustration is the second.
However, if we can learn to work with the natural seasons of the markets, we’ll find our path far easier and the favorable trend will sweep us along with it like a kite in a gentle breeze.
As much as we’re able, we need to set aside the distractions of ‘outside’ influences and opinions and make our own sovereign judgments and take actions based on broad knowledge and critical understanding.
All responsibility is ultimately our own as are the rewards.
This is the epitome of mature and responsible investing and a balanced Life. – George

MORE ARTICLES ABOUT WD GANN:

The rediscovery of these WD Gann lost secrets (and many more) as well as other completely original discoveries are available to a limited number of students each year through The Harrison-Gann Trade Secrets Master Course. Contact me by e-mail for price and availability by clicking the box below.

