Remember no one can predict the future but we review the charts looking for patterns which hopefully increase out chances of being correct.
In looking closely at the DJI chart there are a series of findings that lead me to believe the bulls may still be in charge (likely for the last time for a long while). No guarantee but worth considering and closely watching for price to confirm.
1. Weekly and daily chart: Notice that last weeks low is at the midline of the bullish channel. Notice that the midline of the channel has provided support on multiple occasions since 2009.
2. Weekly chart: There is prominent positive reversal in the weekly RSI. This reversal if it works out gives target of approximately 42000.
3. Daily chart: last Friday's low was at the 50% retraction of wave 3 given the way I see 3 as a expanding triangle.
4. Daily chart: there is a bullish divergence in the daily RSI.
5. Weekly chart: In a 5 wave bullish up move there is often a Fibonacci relation ship between wave 1 and wave 5. It is not unusual for wave 1 = 5. If this happens the target is very similar to the RSI target, at about 41000.
We should know very soon if this is correct. As always process your way.
Enjoy the weekend. Best to ya.
In looking closely at the DJI chart there are a series of findings that lead me to believe the bulls may still be in charge (likely for the last time for a long while). No guarantee but worth considering and closely watching for price to confirm.
1. Weekly and daily chart: Notice that last weeks low is at the midline of the bullish channel. Notice that the midline of the channel has provided support on multiple occasions since 2009.
2. Weekly chart: There is prominent positive reversal in the weekly RSI. This reversal if it works out gives target of approximately 42000.
3. Daily chart: last Friday's low was at the 50% retraction of wave 3 given the way I see 3 as a expanding triangle.
4. Daily chart: there is a bullish divergence in the daily RSI.
5. Weekly chart: In a 5 wave bullish up move there is often a Fibonacci relation ship between wave 1 and wave 5. It is not unusual for wave 1 = 5. If this happens the target is very similar to the RSI target, at about 41000.
We should know very soon if this is correct. As always process your way.
Enjoy the weekend. Best to ya.
