in my last couple articles here on tradingview.com I have noted the Bullish Short Term Trend Reversal in the S+P 500 that occurred on 12/26/18.
However,with the 25 point GAP Down Open, and a late afternoon fade break/test of 2400 Bullish Support which I had written was the technical expectation today, all seemed lost for the bulls.
I myself had relaxed this holiday afternoon with no trading position simply watching all this unfold with chinese food and tea, and chatting with some trader buddies here on tradingview.
Tonight, after I awoke from what they nowadays call a power nap and turned on my computer screen, I was dumbfounded what I saw. S+P 500 had reversed all of that, in the last 90 minutes of trading and had actually CLOSED today up nearly 1 % to 2488.
I literally had to do a double take at my computer screen. Even putting on a pair of cheap reading glasses didn't change what I was seeing.
Yes, it was all very true. S+P 500 had rallied back substantially in what they are saying is the biggest point comeback in a decade.
Rather than go into any further dumbfounded explanations here, I will simply note in doing that, the Bulls have SUCCESSFULLY pulled off a houdini that perhaps no one would have thought possible, and kept their bullish reversal hopes alive, at least for another 24 hours, and maybe more.....
Are you kidding me :) ?
SPX Last 2488.83
Short Term Trend Remains BULLISH, with 2400 Remaining as important Support
There is HUGE government intervention going on. The treasury is dumping huge amounts of gold futures and government bonds when necessary throughout the trading day to push liquidity into the system, playing with oil and corporate bond and treasury note prices when necessary, phoning their friends at central banks (that can never make a loss but only bank assets) in places like Switzerland and Saudi Arabia to buy shares in companies like Apple at key moments... it is the most contrived and artificial market imaginable... a communist dream, in a way.... a perfectly managed market... no wonder Trump is pushing attention onto the fed and others... I think he and his cronies are actually playing the markets big time. Imagine Trump’s face when he was told how money was made and gold could be created in an instant by simply pressing a button on a terminal at the Treasury....
mstable
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@mstable, by the way, I am watching the key indicators throughout the day and these trades and money movements are so blatant you’d have to be blind not to notice them.
mstable
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@mstable, oh, I should have added, because of this the US stock market has now become uninvestable. The market sort of know this.
That’s why it’s really collapsing... as hard as they try to prop up years of profligacy that has led to asset prices that are maybe 80% overpriced, and 1% of the population theoretically own almost everything worth having even though the real economy is good and ordinary people go about their work...
GDP grows a few percent a year. How is it logical that since 2010 the stock market has gone up so much? Quantitative easing should have stopped in 2011. Now we have managed socialist markets, and when a populist government gets in control and sees the opportunity that brings politically of course they are going to take maximum advantage.
Everyone is talking about it being a bear market. The only reason the S&P is down so much is that it was up so high previously. It is still probably 10-20% overpriced, but isn't it generally that way? On the Monthly chart we were just at the 50 Month average.
It could go lower, but the market doesn't move in straight lines, and the sellers exhausted themselves. It could also be a good ol' short squeeze given all the short sentiment I see on this forum. We will likely retest the lows in a couple of weeks or months and if they hold it could be up for a while.
Honestly, there is not a lot of confidence with Trump in office, so we will likely see more volatility.
One could surmise that. Excellent eyes.
Wait to see if on a potential pullback to 2450,
how the market reacts.
Or smaller position now for a breakout above 2532