Tony Cherniawski's Blog – August 2009 Archive (3)

Today we talk about the Rodney Dangerfields of the market. These are the indexes that just get no respect. I call them the Lazarus indexes. They are beyond the point of being beaten up. They have been left for dead among the majority of investors.



The first Lazarus index is the VIX. Most commentators have long ago quit badmouthing it. They have simply given up and walked away because… Continue

Today gold declined below an important short-term support at 947 (magenta line) and came to rest at the bottom trendline of a symmetrical triangle. Symmetrical triangles are continuation formations, but not without their foibles. That is why I inserted, "First the pain, then the gain." in the title. Having finished wave d, gold is now working out wave e, the rogue wave of the formation. This is the fake out wave that may shake out the weaker… Continue

First, a primer on Broadening Top Formations. The picture above is a reproduction from John Murphy's Technical Analysis of the Futures Markets, pp 150-152 on The Broadening Formation. There are several names for this formation (Expanding Triangle, Five-Point Reversal, Megaphone Formation). This pattern is an unusual variation of the wedge formation and is relatively rare. Thus,… Continue