The downside risk at the moment concerns the S+P 500
Weekly Chart, and the possibility of an extremely bearish Weekly Reversal.
That technical bearish event occurs if price closes this week
below last weeks low at 2822 after trading above it's high this week at 2943
The stock market will be fixated on 2822 Support by Friday, if not sooner.
Long's should use 2822 as the Line in the Sand" STOP for long positions
Failure at 2822 would almost certainly mean that the S+P 500 ,
could be targeting the June 3 Primary Low at 2728..next in this decline.
This is a much more serious market event
than the crowd of bullish traders could have anticipated, even a few short weeks ago.
Long term interest rates continue to drop off the chart,
with the 30 Year Bond now dropping below 2 %, an historic low,
for such a long term maturity.
Imagine buyers being satisfied to lock up principal
and being compensated with less than 2 % for 30 Year Loan to the government.
Unthinkable. Really.
THE_UNWIND
8/15/19
NEW YORK
Weekly Chart, and the possibility of an extremely bearish Weekly Reversal.
That technical bearish event occurs if price closes this week
below last weeks low at 2822 after trading above it's high this week at 2943
The stock market will be fixated on 2822 Support by Friday, if not sooner.
Long's should use 2822 as the Line in the Sand" STOP for long positions
Failure at 2822 would almost certainly mean that the S+P 500 ,
could be targeting the June 3 Primary Low at 2728..next in this decline.
This is a much more serious market event
than the crowd of bullish traders could have anticipated, even a few short weeks ago.
Long term interest rates continue to drop off the chart,
with the 30 Year Bond now dropping below 2 %, an historic low,
for such a long term maturity.
Imagine buyers being satisfied to lock up principal
and being compensated with less than 2 % for 30 Year Loan to the government.
Unthinkable. Really.
THE_UNWIND
8/15/19
NEW YORK