About meForex, equities and options private trader. Technical analyst mastering the art of harmonic trading. The owner of The Market Zone blog and website.
My blog - www.themarketzone.n
Disclaimer: The trade ideas posted are only my opinions of the
Since it broke its weekly uptrend, FB is slowly and steadily sliding down.
The next weekly support zone is near the 200 weeks MA line.
Even if FB will climb higher from where it is at right now... the final destination of the current bearish wave is most like 130-135$
I've projected that SPX will climb towards 3000 a while ago when I recognized that no matter what you throw at it... it keeps on climbing.
Now, SPX is near my projected target zone - The completion of harmonic patterns.
Will that stop the S&P500?!!
I've been bearish Dollar for a while now.
I've recognize the Dollar's weakness and was glad to get a confirmation when the Dollar broke below the rising channel.
Today, we get another bearish confirmation signal as the Dollar breaks below the neckline of a Head and Shoulders pattern
In this week's newsletter (search for #WeeklyMarketsAnalysis on Twitter) I covered the U.S stock markets vs. The European ones.
The European Indices can drag the strong U.S market down with them if Draghi will dissapoint.
In such scenario, the Dow presents a bearish opportunity.
A close below the MA line can signal the start of a short term correction wave....
The Dollar Index is back near support after a failed rally that we saw in August.
The support zone includes the bottom of a rising channel, MA line and a structure zone (previously resistance, now potential support)
On Thursday we will have the ECB meeting and the U.S CPI data - Two events that can (and probably will) impact the Dollar.
The bearish scenario...
I've been writing about the option of a bearish correction wave in DXY in the recent weeks.
Last week's stop hunt leads me to think that this time it will break down and continue towards the 200 MA line.
All it needs now is to break the short term support....
SPX continues higher and tries to break the 2800 handle.
In case of a successful breakout, a visit to previous record high can be its next destination.
Extremeley bullish? How about new record high just below 3000 as the harmonics suggest?
A fail to break 2800 can lead to a short term correction back to 2750.
The bearish Bat pattern was confirmed last week with a strong bearish reaction to the PRZ.
The Dollar is still above support (!) but it looks like near term trades should focus on counter Dollar opportunities.
Do you agree?