We are following the 2008 pattern after the crossroad of december. Dip today probably to 1850. Start of a dead cat bounce tomorrow or in the evening towards 1950 - 2000. Remember, this is a weekly chart, but the markets tend to move much faster then a few years ago.
My consensus:
Short term down
We are going up again till the end of Januari in line with the buy the dip principle (works till it doesn't..)
Crude is forming a temporary bottom, 30 area up to 34, helping equities to move up a bit.
Februari: consolidation month around the 2000 level
End of month crude starts to break down again, crude goes to 25-20 Dragging equities with it.
In March we fall hard, beyond 1700-1600
Buy the dip doesnt work anymore. Market gets really exhausted and screams for a correction to build a better fundamental base.
My consensus:
Short term down
We are going up again till the end of Januari in line with the buy the dip principle (works till it doesn't..)
Crude is forming a temporary bottom, 30 area up to 34, helping equities to move up a bit.
Februari: consolidation month around the 2000 level
End of month crude starts to break down again, crude goes to 25-20 Dragging equities with it.
In March we fall hard, beyond 1700-1600
Buy the dip doesnt work anymore. Market gets really exhausted and screams for a correction to build a better fundamental base.
