If we want to see the index rising like a rocket, I think it's better to have a double top as soon as possible. Preferably in 2023. Yes, that's right, we have to form a double top if we want to escape something worse.
Think about it with me: apparently the US is willing to control inflation, whatever the cost. Proof of this is seeing the FED not relaxing interest rates.
Another factor that we can mention is that the employment rate is at full steam, coming above market consensus with each new release, a clear sign of a strong economy. Maybe via (QE), but still, strong.
If we use these two miserable items as arguments, and see the FED keep its word to contain inflation (austerity via interest rates), we believe that we will have interest rates above 5% per year for a good period in 2024.
Based on these goals, I believe that by the beginning of the third quarter the boldness to control the infinite Quantitative Easing (QE) will really have its practical effects on the economy, thus allowing us to have the interest cuts expected from this period onwards.
In the last analysis I even mentioned that we may be experiencing the formation of a C&H, but I thought about it, I would rather experience a double top at 4808. Believe me, having a double top will be better. Lol.
Below I leave the image of the first bullish pivot formed after the post-pandemic (QE) Rally in November 2022. At the current moment it is reaching 100% of the FIB projection. It has the strength to reach the 4824 region, which according to the SETUP that I use is a region of resistance, and consequently, the double top region that I mention in this text. What a thing, right?
For this week things still need to be discharged. We have prices working within a high medium-term pivot. This could corroborate the thesis that we will have a double top in 2023, after all, the golden region of this medium-term pivot is at 4827. Maybe we will have a wick in the last weekly candle of 2023. Haha.
Below I leave a view of the short-term charts. We are so close to reaching the all-time high again. There is only a measly 3.6% increase left. Is it too much to ask for sardines and institutions to help this happen by doing some shopping at Famangs?
Do your analysis and good business.
Be aware, if you buy, use stop loss.
See other graphical analyzes below.
Think about it with me: apparently the US is willing to control inflation, whatever the cost. Proof of this is seeing the FED not relaxing interest rates.
Another factor that we can mention is that the employment rate is at full steam, coming above market consensus with each new release, a clear sign of a strong economy. Maybe via (QE), but still, strong.
If we use these two miserable items as arguments, and see the FED keep its word to contain inflation (austerity via interest rates), we believe that we will have interest rates above 5% per year for a good period in 2024.
Based on these goals, I believe that by the beginning of the third quarter the boldness to control the infinite Quantitative Easing (QE) will really have its practical effects on the economy, thus allowing us to have the interest cuts expected from this period onwards.
In the last analysis I even mentioned that we may be experiencing the formation of a C&H, but I thought about it, I would rather experience a double top at 4808. Believe me, having a double top will be better. Lol.
Below I leave the image of the first bullish pivot formed after the post-pandemic (QE) Rally in November 2022. At the current moment it is reaching 100% of the FIB projection. It has the strength to reach the 4824 region, which according to the SETUP that I use is a region of resistance, and consequently, the double top region that I mention in this text. What a thing, right?
For this week things still need to be discharged. We have prices working within a high medium-term pivot. This could corroborate the thesis that we will have a double top in 2023, after all, the golden region of this medium-term pivot is at 4827. Maybe we will have a wick in the last weekly candle of 2023. Haha.
Below I leave a view of the short-term charts. We are so close to reaching the all-time high again. There is only a measly 3.6% increase left. Is it too much to ask for sardines and institutions to help this happen by doing some shopping at Famangs?
Do your analysis and good business.
Be aware, if you buy, use stop loss.
See other graphical analyzes below.
