(the link is from the history, not the current, this helps blogger's view it later on.) http://www.wdmatrix.com/TopStep/History/032507/.
Main points of interest on the Cocoa upload:
1)The solar eclipse was on the weekend of March 18th, 2007. The market was in a holding pattern on the daily charts. As the SE time came in the market gapped higher and began a rapid acceleration, this looks bullish with new highs.
2)The weekly chart is now it second stage and holding its new parallel trend speed. Typically there are three speed changes before the market tops out, long-term.
3)The monthly chart plots the squares of 210, which was the all-time-low price. Since 210 price is very small I multiply by 10 equalling 2100 for the price perimeter. Time is still 210 months. The
squares on the chart are 2100 price to 210 in time, subdivided by 2 to give 50% or 1050 x 105. The lines marked in red are mathematical inserted on the sub squares of 210. The other lines are parallel lines inserted from the lows or highs. As you can see the market appears to be on a resistance common down trend line off the all-time-high and the last 2nd major high. But, it is not common! This is a mathematical TL and very important! Also, you can see a sub square marked in red intersecting, the recent highs. Two obvious things will happen, first the market will honor this a resistance and break back, or it will surge through and cause an extended and extreme advance. This is the last down-trend line and the topside formation of the 30 year wedge.4)Page two shows WD Gann Master Chart breakdown of the 2420 high made in 2003 and the 674 low made in 2000. 04-04-2007 is matching up the 180^ and 360^ and should offer a trade opportunity.
5)Page three is the seasonal charts. It appears the market seasonally goes down into May. The last chart shows http://www.wdmatrix.com/TopStep/History/032507/Page3.htm#Best%20Odds%20Study: a strong tendency in the last week of March to close lower then the previous week of March; 9 out 9 years.
6)Page four is the CFTC breakdown, plotting fund activity. The last 3 years the funds are channelling higher. The spread between long are short are historically wide and may get wider as index funds are beginning to apply cocoa to there portfolios. As a longer-term note, if the long funds break a common trend line support, which you can draw off the last lows, the market tends to liquidate on a multi-leg correction.
7)Page five has some misc. charts on it. For those that are long futures one may consider looking at the chart plotting the 1900 put. It is on the bottom of the channel and may offer a substitute for getting out or placing a stop.
Disclaimer: All comments and posts are for learning purposes only. Don't use this information for your trading. Don't believe the comments or posts as accurate at all. Again this blog or any other site related are for learning purposes only.
