Weekly key reversal levels for stocks, gold and currencies. Including my weekly comments on the state of the markets. Trend following method keeps you on the right side of the market and avoids big losses on investments.

1. Key reversal levels for week of August 18, 2014

Nikkei is back into the bullish
camp. But MoM remains down, so
it is a weak buy signal.

Bonds (TLT) are still the only fully
bullish market, now up 10.33%
since they went into bullish mode
29 weeks ago. Not a bad move for
bonds.

Gold is not acting right. Fails to
hold on to any kind of gains since
turning bullish 8 weeks ago. Avoid
until more clarity emerges.

Euro going nowhere. MoM keeps
pointing down, so a further drop is
still the most likely scenario. A
weekly close above 1.3626 would
change the outlook.
Weekly keys:
© LunaticTrader.com

2. 
S&P 500 and Nasdaq have gone
into rally mode. Other stock
indexes have upward MoM but
remain below their daily key level.

Bonds have broken above their
Top1 target at 115.70. We now
watch for 119.50, the Top2 target.

MoM is turning down for gold. A
daily close below $1297.05 would
put it into decline mode. The very
weak 6 day “rally” in gold
suggests that path of least
resistance is down.

Euro remains stuck at the 1.34
level. A daily close above 1.3471
would put it into rally mode.
Daily keys:
© LunaticTrader.com

3. 
Bitcoin is now in weekly bearish
mode.

Weekly MoM has turned up for
Mexico.

Markets/sectors that are in bullish
mode with upward MoM: China,
Hong Kong, Indonesia, Mexico,
Social Media sector, South Korea
and Vietnam.

Fully bearish (avoid): Bitcoin,
France, Italy, Malaysia, Russell
2000, Russia, Spain, Switzerland
Weekly keys for World markets and sectors:
© LunaticTrader.com

4. 
Weekly sell signal for CAT and
TRV

19 stocks bullish, up from 17 last
week. Below 20 = struggling bull
market. See:
Keeping an eye on the Dow stocks

MoM turning down for IBM

MoM turning up for DIS and MSFT

We see an improvement vs last
week. Still cautious as long as
number of bullish stocks stays
below 20
Weekly keys for the 30 Dow stocks:
© LunaticTrader.com

5. 
These key target zones are a by-
product of my key level calculations.

I have noticed that when a key target is
reached the market will typically react
and turn back from it. On the second or
third attempt the target gets finally
broken and then the next target comes
into play.

So these key target zones can be used
as price objectives for taking profits or
for entering the market after a
significant sell-off. They can be seen
as a kind of pivot points.

When MoM indicator reverses right
near a key target it is very likely that
the market has reached a temporary
peak (or bottom).

This table lists the two main Top and
Bottom targets.
Key target zones:
Legend
* = new or updated target
Note: we use a +/-1% zone around these targets.
For more details about these key targets, see:
http://lunatictrader.wordpress.com/2013/08/20/key-target-levels/
© LunaticTrader.com

6. More details about the key reversal levels and how to use them in your trading
can be found here: http://lunatictrader.wordpress.com/key-reversal-levels/

Blog: http://LunaticTrader.Wordpress.com

On Twitter: http://twitter.com/lunatictrader1

On Scutify: http://www.scutify.com/profiles/scutifier.aspx?q=LunaticTrader

On Stocktwits: http://stocktwits.com/LunaticTrader
For daily key levels, regular market commentary or questions you
are welcome to follow or contact us here:
© LunaticTrader.com
Disclaimer
Investing in stocks, forex or commodities is risky. No guarantee can be given that the opinions or predictions given in this presentation will be
correct.
LunaticTrader cannot in any way be responsible for eventual losses you may incur if you trade based on the given information.
Simulated trading programs in general are subject to the fact that they are designed with the benefit of hindsight.
No representation is being made that any account will or is likely to achieve profits or losses similar to those shown.
Trade at your own risk and responsibility.

7. More details about the key reversal levels and how to use them in your trading
can be found here: http://lunatictrader.wordpress.com/key-reversal-levels/

Blog: http://LunaticTrader.Wordpress.com

On Twitter: http://twitter.com/lunatictrader1

On Scutify: http://www.scutify.com/profiles/scutifier.aspx?q=LunaticTrader

On Stocktwits: http://stocktwits.com/LunaticTrader
For daily key levels, regular market commentary or questions you
are welcome to follow or contact us here:
© LunaticTrader.com
Disclaimer
Investing in stocks, forex or commodities is risky. No guarantee can be given that the opinions or predictions given in this presentation will be
correct.
LunaticTrader cannot in any way be responsible for eventual losses you may incur if you trade based on the given information.
Simulated trading programs in general are subject to the fact that they are designed with the benefit of hindsight.
No representation is being made that any account will or is likely to achieve profits or losses similar to those shown.
Trade at your own risk and responsibility.