My First chart...Can someone explain it to me?As most of you are...

My First chart...

Can someone explain it to me?



As most of you are aware the ORE/GXY was following the Elliot Wave Pattern as identified by some of the longterm chartists on here.

The retrace we didn't have
Since it missed its last expected correction in the second half of June, alot of us traders have been divided on the reason why it hasn't happened yet. For a period the price action looked confused looking for direction and the days that followed we had what looked like a seesaw type pattern but slowly inching upwards (yellow circle on chart). As we moved upwards, I have stated in my past posts that this is proof that the old wave is finished and a new wave has begun. I still stick to this, but the truth is it is still not conclusive, what we need to really show this is a new break out, $4.15 would be great, but $4.20+ would be a much better indicator. I am of the opinion that this should have happened already and that if it was not for the i'll timed short taken out on the 18th of June by an insto which has gone wrong for them on day dot. (will talk about who is responsible for the short in a moment).

So why did the Insto take out the short on the 18th of June?
I was puzzled as to how an insto can get it so wrong, and why they persisted with this short. Then it dawned on me.... The insto was working off the same elliot cycle the chartists here were working off!!!! Remember the time when we dropped to $3.10, and the Elliot gurus said there was more to come potentially some expecting a drop to $2.80 and some even lower to $2.50, WELL that is EXACTLY what the shorts were expecting, hence the short position taken out on the 18th of June. They were going to use that downward momentum to their advantage by amplifying the downward pressure with their short stocks!!! Yes, instos, algos, funds all follow T.A theory along with other things. So I am thinking the mystery of why short position would be taken out on a stock/industry that had so much tail wind, full kamakazi mission (pun intended, read below)

The Short
I had stated previously that I suspected the short was carried out by Credit Suisse. I was wrong, I am now convinced (and know) it was in fact Morgan Stanley. It didn't sit right with me because the major U.S funds are more conservative with their shorts and tend to cover quickly should price move in the wrong direction, where as the ORE short position only increased (but not significantly) as the sp increased.

After some research i found this;

What I thought was a American firm was infact essentially Japanese. If you recall i had made several generalisations about how Japanese firms trade, aggressive and stubborn.

Hence why the following happened to Morgan Stanley

So Morgan Stanley is controlled by a Mob called Mitsubishi UFJ Group ( MUFG), Japans largest bank by having a controlling stake of 24% in Morgan Stanley.



When ever you see a ASX Announcement saying change in substantial holding/initial substantial holding and its from MUFG, get ready for a ugly shorting session on that stock. MUFG short so much that im not even sure they own stock, they might just short stuff (i jest ofcourse but you get the drift)


Where to from here?
As far as today goes, it's going to be emerald green, all indicators look superb, and the O.S lead is great. Also there is strong evidence that Morgan Stanley slowly started the covering process late last week, and has been doing so, but not in a lump sum more like playing the pip game and clawing back some of its losses. However the buying pressure is really starting to increase, should we get passed $4.50 convincingly our next stop could be $6.

(This is not financial advice i am just a bogan with a drinking problem)

Also look, i know most of the boomers on here don't like me and that's fair enough, I'm not everyones cup of tea, but if you appreciate some of the work i do here, dont be an ass give me a 'great analysis' tick.

Anywho, i'm running late for my Uber shift. if you need an Uber and are in a rush CALL ME, i will get you there quicker than a medieval bar wench taking per knickers off.

and some tunes for the ride...enjoy.