The much talked trade war opened fire on Friday, July 6th as anticipated. The market was calm as it could be. All three major indices rallied with NASDAQ in leading position. The Chinese stock market rallied as well. Is the market discounting the impact of the future trade war escalation?
Two weeks ago we sent a private blog to warn our subscribers to take profit as the price hitting the extended 4th channel line. After it hit the top channel line on the 8th day of the daily cycle, it continued two more days to make the high at 46.23. What does this high at 46.23 mean? Is it final?
The major indices finished the first half of 2018 as a mixed bag. S&P 500 and NASDAQ both finished with gains, while DOW finished in loss in the first half year. This truly reflects the worries of a trade war because the DOW is mostly comprised of the multinationals, which are more sensitive to trade issues.
