NDX100, Optmistic Scenario. Will we have a bounce?
Most of the people are bearish now. Of course they have a strong reason to be so. FED is going to turn into stock market's enemy from being it's close friend. Can we find any technically optimistic scenario for indexes? Lets follow.
I assume we may have a Flat correction for indexes which is regular flat ( wave b does not make new ATH ) for NDX100 and Irregular flat ( wave b makes a new ATH) for SPX !. Flat corrections especially irregular flats are among the most strong bull traps.
For being true, We have to consider the up going wave cycle from 10677.85 on 21th Sept 2020 to 16764.86 on 22th Nov 2021 to be the wave 3 ( with and extended wave 5 ) of a larger degree wave cycle started at 6777.91 on 23th Mar 2020. In this scenario, We may have a final wave up to a new ATH to make a larger degree wave cycle complete.
If this is going to happen, next strong support is around 13000 which is about 9% lower. This may pose painful moments to many stocks.
Please note this is an optimistic scenario and we do not claim this will surely happen. This is just a possibility. NDX 100 has already lost many strong supports like up trend line and long term moving averages one after another.
In broader view, we maybe in wave 5 of 5 of larger degree waves. We know that wave 5s can sometime be just 3 leg waves instead of 5. Therefore, As publishing this idea we are aware of some terrifying scenarios with most terrible one to be just being in onset of 90 years bull run correction. For now, Lets hope for the best. At least I think there may be considerable counter trend correction at proposed support.
If you go back and forth in the chart you may see some wave counts with wrong wave degrees. Those are my works to discover the relationship of wave cycle in long term and of course they are not finalized yet. So please just pay attention to what I suggest after the vertical line on the chart. I have many ideas and possibilities in my mind and just tried to get you out of them and propose the optimistic one here.
Good luck everyone!
I assume we may have a Flat correction for indexes which is regular flat ( wave b does not make new ATH ) for NDX100 and Irregular flat ( wave b makes a new ATH) for SPX !. Flat corrections especially irregular flats are among the most strong bull traps.
For being true, We have to consider the up going wave cycle from 10677.85 on 21th Sept 2020 to 16764.86 on 22th Nov 2021 to be the wave 3 ( with and extended wave 5 ) of a larger degree wave cycle started at 6777.91 on 23th Mar 2020. In this scenario, We may have a final wave up to a new ATH to make a larger degree wave cycle complete.
If this is going to happen, next strong support is around 13000 which is about 9% lower. This may pose painful moments to many stocks.
Please note this is an optimistic scenario and we do not claim this will surely happen. This is just a possibility. NDX 100 has already lost many strong supports like up trend line and long term moving averages one after another.
In broader view, we maybe in wave 5 of 5 of larger degree waves. We know that wave 5s can sometime be just 3 leg waves instead of 5. Therefore, As publishing this idea we are aware of some terrifying scenarios with most terrible one to be just being in onset of 90 years bull run correction. For now, Lets hope for the best. At least I think there may be considerable counter trend correction at proposed support.
If you go back and forth in the chart you may see some wave counts with wrong wave degrees. Those are my works to discover the relationship of wave cycle in long term and of course they are not finalized yet. So please just pay attention to what I suggest after the vertical line on the chart. I have many ideas and possibilities in my mind and just tried to get you out of them and propose the optimistic one here.
Good luck everyone!
