The DJI is trying to stabilize and this may attract some investors.
However the down move that started on Oct 3rd is still unfolding.
Most probably we are having now sub wave IV of 1 and then a V will follow.
Overall nothing has changed for US indexes.
Any move up remains an opportunity to go short or decrease long positions.
Capital preservation is the most important thing to do at this period.
However the down move that started on Oct 3rd is still unfolding.
Most probably we are having now sub wave IV of 1 and then a V will follow.
Overall nothing has changed for US indexes.
Any move up remains an opportunity to go short or decrease long positions.
Capital preservation is the most important thing to do at this period.
Comment:
Looking at the Long Term Momentum (chart below DJI) what is interesting to note is the Negative Divergence in September. Long Term Momentum was gradually going down while DJI was going up.
Trade active:
Nothing new to add. We are in IV
Either we saw it and now a V down will start or it will continue to construct its move until it loses its strength and the V down will follow.
If already short, maintain your positions.
If not, wait for IV to end and Short for V down.
Either we saw it and now a V down will start or it will continue to construct its move until it loses its strength and the V down will follow.
If already short, maintain your positions.
If not, wait for IV to end and Short for V down.
Comment:
ATTENTION
We had 5 down (i to v) as 1.
We may have seen the reaction as 2.
If it is the case, Wave 3 down is starting and it will be FIERCE.
Still I am not 100% certain that Wave 3 has started therefore I need some more proof. But it is obvious that DJIA is weak and very vulnerable.
We had 5 down (i to v) as 1.
We may have seen the reaction as 2.
If it is the case, Wave 3 down is starting and it will be FIERCE.
Still I am not 100% certain that Wave 3 has started therefore I need some more proof. But it is obvious that DJIA is weak and very vulnerable.