Sunday June 20, 2021
VantagePoint ai Prediction for Tomorrow
VP clearly projects the anticipated direction and magniture of tomorrow’s market. One can use any symbol; I trade the EMini S&P. My read of this chart is: clearly the market is poised for further move downward, but how much? And where will it stop? Is this the crash, or do we wait 'til October? And, of course, the best thing is to run VP every afternoon, not just once a week.
Last week the MAVs were moving sideways and I said it was indecision, with the likelihood of a move back up to the 34,980 level. The Dow actually made it to 34,820, only a few points off in the scheme of things while the S&P made all time new highs. Then the Dow backed off, dropping 533 points on Friday, and a total of 1,561 points down in 10 trading days. The S&P, on the other hand, only dropped 125 points, and the decline didn't begin for several days after the Dow. The S&P made a new all-time high at 4,258 before beginning its decline, matching the VP prediction of last week.
Now all three VP moving averages are under the zero- line, but moving clearly downward. The short-term averages are moving more quickly downward than the long-term.
Today I believe that the Dow will move on down near the Attractor at 33,000 to complete the Fibonacci projection before taking a bounce.
VP (VantagePoint ai Software) suggests that tomorrow should move to the downside sharply.
SunnyBands Implications
Dow Jones
S&P 500
There is clear disagreement among the 3 major markets I watch. The Nasdaq still has the gold line of the DMA on top, signalling that the market is bullish, from a macro viewpoint. Yet, the Dow is significantly down and the S&P, while it still shows the gold line on top, it is "just barely" on top.
Last week I said: "At this point, only a drop below 34,188 on the Dow and 4,108 on the ES would establish a concentrated down move to me." Well, it happened on the Dow & the S&P, with a decisive break below the Attractors, but not yet on the Nasdaq. The Nasdaq will need to break below 13,859 to confirm the other two indices.
The DMA (DynamicMovingAverage) is turned down on the Dow, with purple now on top, signalling more action to the downside. On the S&P gold is still on top, however, but the DMA_H signalled short positions 3 days ago. Presumably, the purple DMA line will be on top in the next session or two.
Since this is a weekly missive, we miss the daily changes to the indicators. Send me an email if you are interested in daily updates. Or better yet, order SunnyBands and DMA_H for your own computer. Of course, like all my products, they work on intraday charts just a well.
The ES did not move up toward the upper Attractors, but rather toward the lower Attractor at 4,108. Currently sitting at 4,150, the S&P has a few more points to go on the downside.
The Dow also moved toward its lower Attractors and passed on through. Purple is now on top, which you can see from the histogram turning purple. The next lower Attractor is at 33,271. I'm expecting a test of the 33,000 level.
Fibonacci Retracements and Extensions
Fibonacci extensions from the big "Covid Crash" can tell us a lot about where the market might be going. The upper extension is at 4,261 while the nearest extension on the way down is at 4,088 on the ES and on the Dow it is at 32,993, which I'm calling 33,000.
The DMA_H called for Short positions on 6/16/21 ar 4,215 on the ES and the Dow signaled Short on 6/8/21.
Wouldn't you like to have these indicators for your own?
Call me and I'll send you a 7-day FREE trial of these indicators for you to see for yourself.
Stocks
In this new section, I'll take a peek at a few of my favorite stocks. Like Cathy Wood, of Ark Invest, I like disruptive stocks, those that promise radical changes to the way we live, like TSLA. I also trade what I know. I use Amazon in real life, so I trade AMZN. I use Verizon as my phone carrier, so I trade VZ. Someone told me recently that some famous investor/trader does the same thing. If you know who that person is, jump to Comments and tell me who.
The chart above is my main research tool. My PHW (yellow) indicator is not sorted in this figure, rather I've sorted the DMA_H to show me the current direction of the stocks in the list.
If you sort on PHW from highest to lowest tells me which stocks are the most tradable. A stock that just moves slowly from A to B is an investment, not a tradable. I'm looking for wide swings from which to profit, not just buy-and-hold.
Just right past the middle of the RadarScreen window is a colorful area that shows me at a glance the configuration of my DMA_H on all the stocks in this portfolio. (This indicator is called DMA_R_H, meaning DynamicMovingAverage RadarScreen Histogram.) Green Bearish means the stock has been bearish but is now turning up. Purple means primarily bearish. (These are the colors in the DMA_H and SunnyBands DMA. So, purple means Purple is on top in the DMA.) Gold Bullish means the stock is moving upward. Red Bullish means the stock has been going up but has now turned downward. Of course, you can sort on any or several of these columns.
From this look (above) at the RadarScreen (like a spreadsheet) I can sort by SDMA, which shows me all the bullish stocks on top with Dir showing me which are moving aggressively upward and which have been moving up but have now turned down. Call me, I'll explain it. VRSN is right on top in the PHW sort. The DMA_H says VRSN is bullish still, but turning down. As you can see in the following video, most of the stocks in the SP500 are bearish right now, but a few are still moving up. Enjoy the video. The sounds you will hear are my BingTicks indicator, because the market is open and I'm trading.
Click Here to see DMA_H Live!
GOOGL has been steadily rising, with a few corrections and consolidations. My DMA_H signalled Short since 6/16/21 but this stock has been strong despite the corrections in the Indices. PHW still shows a buy signal but in my RadarScreen of the DMA_H it shows bearish. So, this is a mixed bag of signals and I'm just holding on to this one for the time being.
MSFT is of itself a mixed bag of directions. It is volatile and a great tradable stock. It goes up for a while and then down for a while. My DMA_H signalled long on 6/4/21, so I bought more then.
Consider getting the DMA_H for yourself. It's a great trading tool!
Send me a note telling me what stock you would like to see analyzed next week.
Gold
Gold gave us a short signal on 6/3/21 and is still moving steadily downward. There is a strong Attractor at 1,750, so I'm thinking the down draft might take a bounce at that level.
Bonds
Bonds are inching their way upward. Not speeding along, but no longer moving downward either, and are moving at a nice clip. The DMA line is gold on top, and the slope is decidedly upward. Price is above the DMA giving it great support. Further, price is now touching the upper-outer SunnyBand, which also says to me that it is going to move up some more.
There is a nice Attractor at 164.5 which I think will pull @US on up to that level.
Last week I said a break above 158-22/32 would mean more movement upward, and that's what happened. Price is now at 161-19/32. Not only that, but price is now above the 76.4% Fibonacci line, heading for 164-16/32.
The Covid Crash high, in a moment of panic, was at 185 and there is an attractor from July 2019 at 161. Those are targets to watch.
The DMA_H on the daily chart is above the zero-line with mixed gold and purple bars, but still signaling price advances.
IMPORTANT: Nothing in this newsletter is an offer to buy or sell securities of any type, nor is it advice to make any financial decisions. You are in charge of your assets and only you know your risk tolerance and how much you can afford to lose. Never invest/trade with money you cannot afford to lose. This information is intended as educational only.
If You Got this Free Newsletter from someone else and would like to Opt-In, and join us, click here.
Products
All subscribers to my Sunny Side of the Street newsletter are eligible for a 10% discount on my products. Call if you are interested.
Consulting/Mentoring - There is nothing that makes me happier than my students turning into great, profitable traders. I love to help new traders, and intermediate traders who are in a slump.
"Thanks very much; I do like hearing from you [, Sunny]. Thanks to SunnyBands I now have a net worth above $1.25 Million." -Don T. [Editor's note: Don started 3 years ago with a $25,000 account. And, he told me yesterday that his account is now well over $2 Million.]
SunnyBands - SunnyBands are a extension of my DMA. The two lines above and two lines below the purple and gold DMA alert me to where the market is going. They are constructed from ATR bands on either side of the DMA.
DMA_H - Sunny"s DynamicMovingAverage in histogram format, using sophisticated math to smooth out the whipsaws.
Of course, my indicators work on any symbol, any time frame. In my own trading I use 1-min charts of the ES.
Archives
Vol 5:
I always welcome comments at sunny@moneymentor.com.
Click to unsubscribe. I'd be sad to see you go, but I will remove you from my subscribers list.
Sunny has been teaching others to trade almost as long as she has been trading. Helping struggling novices over the hurdles is a passion of hers. Sunny has won awards for her teaching and consulting, being #1 in several categories. Sunny can teach you how to use TradeStation & MultiCharts and EasyLanguage and PowerLanguage, TC2000, VantagePoint, NinjaTrader, Genesis Navigator, and MetaStock so you don’t spend months struggling on your own. If you have a concept you want programmed, she can do it for you or teach you how to do it yourself. Click Here.
We provide a wide range of software programmed by Sunny for her own trading. We are not a churn and burn shop that puts out lots of indicators for sale, just to have products to sell.
Each of these unique products is available to help others in their quest for profits. And, they are used by Sunny in her own daily trading. The software includes indicators that make trading smooth and easy, and strategies that can even be automated to provide hands-off trading. Click here for a full list, descriptions, charts and prices.
