SPY looks to be in "No Trade Zone."
Depending on how you look at it... You have,
Descending Triangle (Blue dash and top Pink line) - Generally Bearish
Channel Down (Top and bottom Pink line) - Bearish Until Break above resistance
Symmetrical Triangle (Bottom Black and Top Pink line) - Generally Bullish - Continuation
Broadening Wedge (Two Black lines trending UP)...
looks like DJIA is forming a triangle pattern.
if it is true, wave e should not move beyond wave c (24850).
estimated sell targets are: 22729, 21482, and 19464 (extensions of 26621-23368 price movement).
actual targets should be updated when triangle is clarified.
DJI Long Position for this week.
We have had some good turbulence in the past week and now it's time to see a short term rebound. Small Profit to be made with a 1hr chart.
DJIA Dow Jones Industrial Average Futures
The Dow has had a torrid time for 3 months now, falling 14%
from the highs and bouncing three times directly off the
longer term parallel underpinning the rally - and which had
acted as major resistance right up to the point when the new
President/Paradigm took office.
Over those 3 months of wild gyration and whipsaw...
Expect some activity above the trend line - basically becomes a bull trap.
Bulls buy expecting BIG profits, only to have their dreams dashed.
New Short oppportunity.
Riaan
The Futures contract hit the bottom support line of the contracting triangle PERFECTLY - then reversed.
Wave b of E will be a small drop in price, which should then reverse back up to touch the upper trend line -
after which, the price should proceed, with speed, downward.
All the best.
Riaan
Expecting more downside for the Dow Jones in the medium-term.
Looking for discounted entries around the beginning of Q3, assuming the downtrend continues along these lines.
weakish bulldiv type situation on DJIA here unless it keeps dropping and shits on the bulldiv by dropping on rsi too. Wouldn't surprise me i've seen it before.
closing today at 23400~ would be a buy the dip situation IMO.
Either way its super risky, and probably not worth RRR. should it fall through I'm looking at those pink lines for bounce zones
SPX (and the other indices) making lower highs and higher lows; representing a fight between bulls and bears. Currently ranging in a no-trading zone, although buying close to the lows and shorting on the highs is a good risk/reward.
Trade war, Flattening yield curve, Monetary policy, overvaluations are some of the fears that are causing this - Uncertainty. Very...
this bullrun ended in a blowoff top/parabolic top event. In the past that has followed choppy rangebound or downward markets, kinda what we're getting this year.
Even this bullrun didn't end until the blowoff top, rather dips were bought quickly in a healthy bull
IDK that there's catalysts for an about-to-come market crash, we'll see if it's just choppy bearish
The S&P 500 has experienced an incredible run ever since its low in 2009, surging from $652 to a top of $2869. That is an incredible rate of return totalling +340%. Or an annual rate of return just under 18% - and that still leaves out the return gained through dividends. I want to provide some word of caution in this post, looking at the graph and looking at long...
