$3400 price target...I don't think the analysis is correct. We already had a blow off top with a throw over event completing wave 5.
UnknownUnicorn266486
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Hi @gvoommen, you could be correct. I’m not a pure EW trader, I use it in conjuncion with the leading fundamental indicators I follow which are all still in expansion albeit growing at a slower pace. My count is based upon this information.
VisionCodeX
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I bit confused on the catalyst to get us past $3000 this year.
The Fed is backed into a corner. If they cut rates now, they are signaling that Trump's economy is weak. The rest of the world is already looking like it's about to enter a recession. That will spill over and impact earnings/PE expansion, etc.
How to imagine that we don't tip over into a recession sometime in 2020.
Doesnt it seem more likely that we are headed to $1500 vs. beyond $3000 long-term?
Cheers
UnknownUnicorn266486
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Hi @Akhokhar86,
If you have the opportunity to read George Soros book "The Alchemy of Finance" I think it will greatly develop your game, it certainly did for me.
On a transitory basis your view would be correct, however, lower rates have facilitated corporate buybacks that have totaled 4trn since 2009 lows (equal to the Feds balance sheet). That is likely to be a driver.
The data is still suggesting we are expanding and should do so over the coming 6-12 months. $3,000 might be a stretch but I can see many circumstances in which the markets reach new highs.