We just witnessed a furious bear market rally in 16 trading days. The DOW rallied 14% in 16 trading days but it failed to produce a weekly reversal signal in the maximum allowed time length of 3 weeks against the December low. The weekly reversal signal is needed to enable the market to continue to […]
The market staged an impressive 10.71% rally in the last 10 trading days. It took 65 trading days to decline 20.21% from the September top to the December low. The S&P 500 December price low was right at the 200-week moving average, meaning the price was at the maximum pain level for the long term […]
The S&P 500 violated the February 2018 intradeday low on Friday 01/04/2019. It has the entered the resistance zone at 2532-2600. From the way how it bounced from the Christmas Eve low we believe it has potential to go a slightly higher than the lower end of the resistance zone of 2532. You need to […]
All three indices closed at year end below the yearly pivot range, indicating a weak position entering 2019. Pivot range is calculated based on the high, low and close of a trading period. The pivot range identifies an area that is called the meat of the market where the market is likely to find support,
We are waiting for the year-end closing data. So the weekly blog will be out on Monday 12/31/2018. We will be focusing on the forecast of 2019 based on how the year 2018 is closed. Happy New Year!
The recent selloff has been absolutely brutal. The market has gone into a sharp selloff that is very similar to the previous selloff in velocity and magnitude in October 2007. From 10/12/2007 to 1/25/2008 during a 15-week period, the S&P 500 declined from 1576 to 1270, a 19.41% decline.
