Midas Speaks

For a while, long before blogging became popular, Dr. Paul Levine (then later his partner Stokes Fishburn) would publish their thoughts on a (now defunked) website in a column called Midas Speaks. In keeping with that tradition, here is my first "Midas Speaks" blog entry. I want to ellaborate on why I (now) think an intermediate top is still weeks away. My cycle indicator is pointing downat this time but that thing has been early in the past and I think its early again.

It comes down to this: accumulation/distribution (as measured by OBV) preceeds the up or downturn of price. This is our MIDAS leading indicator. So far in the current move off the bottom, OBV is still moving up sharply. Until it flattens our and starts to turn down, we can expect the market to continue to move higher. This means we should continue to buy the bounces off the S/R curves (on the attached chart we've got an orange one coming up)

Here's something thats been bothering me… Take a look at This chart of S&P volume. What the heck started happening in the spring of last year? Is it manipulation by the PPT, who are wholey unaccountable to anyone, and have bottomless pockets (our tax dollars) with which to manipulate the markets? I ask the question because I do not know… but it would not surprize me one bit in these everincreasingly Orwellian times in which we live. Volume is a key ingredient in the Midas Method. I hope this is just "bad data."

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