The DJI clearly has a hard time to build support on current levels. I wouldn't initiate a long-term trade just yet. There is a possibility of breaking through and achieve new highs, but I think that's very unlikely to due to the bearish divergence on the monthly chart. I would suggest waiting for a cross of the 8 EMA through the 21 EMA on the monthly chart, since...
In my last commentary I noted that the Euro could bounce. The Dollar has just broken significant support as I write. I have short EURUSD positions remaining, but I'm strongly hedged with a DXY short.
I'm also long Gold and Silver, as a counter-trend short Dollar play.
I also noted that political confusion concerning Trump could make the US markets 'choppy' -...
Hello Traders,
Dow Jones Elliott wave view suggests that the cycle from 08/15/18 (24946) low ended at the peak of 08/29/18 (26186) in red wave 3.
Below from there, it ended the pullback in red wave 4 at 09/11/18 low (25767) and already broke to new highs confirming that the next extension higher has started.
The internals of the red wave 4 pullback unfolded as...
As you may expect, there is always a bullish or a bearish scenario to bet on.
Upside breakout is needed to encourage the bulls to push price higher. However, resistance is evident. 10-year treasury bond is above 3%. There is no new hype around that may inspire positive sentiment, only Trump, tariffs and trade war.
On rule of thumb it is more probable that stocks...
The 4H chart view for Dow Jones might be suggesting that an A-B-C potential flat still remains intact, even after intraday highs at 25720/30 levels today (futures). Looking at the entire wave structure from Jan-Feb 2018, the indie had dropped lower 5 waves to 23,000 levels, forming an impulse. The expected corrective rally turned out to be a complex A-B-C flat as...
Index is safe until 24935 is not breached on closing basis. At current level one should long near the lows with tight SL placed around 24875. A close above 25050 would be a safe indication and bulls may come in soon.
DJI looking for the blue line (not a trend line). Targets very clear.
Keep in mind: Corrections remain in place until a new high is made.
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Some important macro events that went on for the week with a weekly performance report for the 4 major indices on the US stock market. If you would like anything else added to the chart comment below.
We are at predictable resistance in DJIA. Last Thursday saw the break of a rising wedge, but Friday offered little follow-through. We are now falling moderately in early Sunday trading (at the time of writing).
I was aiming for a test of trendline resistance within the purple box. We can still test this area; either way, I'm betting on a wholesale decline in...
The question is not if it's going to drop that hard, the question is if it's gonna honor the fibs and provide a good entry.
When it hits the fan, don't say you weren't warned.
I'm expecting the completion of a larger correction on the DOW before we see the move up. This could come in the form of 3 or 5 waves.
Direct message me for any assistance
Best regards
Linton
