• 92 days Could Crypto Overtake Traditional Investment?
  • 97 days Americans Still Quitting Jobs At Record Pace
  • 99 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 102 days Is The Dollar Too Strong?
  • 102 days Big Tech Disappoints Investors on Earnings Calls
  • 103 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 105 days China Is Quietly Trying To Distance Itself From Russia
  • 105 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 109 days Crypto Investors Won Big In 2021
  • 109 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 110 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 112 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 113 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 116 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 117 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 117 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 119 days Are NFTs About To Take Over Gaming?
  • 120 days Europe’s Economy Is On The Brink As Putin’s War Escalates
  • 123 days What’s Causing Inflation In The United States?
  • 124 days Intel Joins Russian Exodus as Chip Shortage Digs In
How The Ultra-Wealthy Are Using Art To Dodge Taxes

How The Ultra-Wealthy Are Using Art To Dodge Taxes

More freeports open around the…

Another Retail Giant Bites The Dust

Another Retail Giant Bites The Dust

Forever 21 filed for Chapter…

  1. Home
  2. Markets
  3. Other

Daily Analysis

Following the guidelines and the potential scenario discussed in the weekend post I maintain a bullish "near term" stance.

Among the 3 potential EW patterns that, in my opinion price could be tracing from the October 4 low, I am giving a higher probability to the Ending Diagonal option.


Larger Image

Price, so far, has traced a 3 -wave up leg from the November 25 low; recall that if this is the assumed wave (III) of the ED it has to unfold a corrective pattern.

Time wise the ending pattern could be done by the end of January.

The lack of a clear s/t reversal pattern in addition to the fact that price is still far from the projected max. equality extension target at 1310.44 could allow more upside, maybe unfolding a Triple Zig Zag.

If today, a small pullback is in the cards, I don't expect the gap at 1257.60 to be closed.

On the upside this wave (III) should not extend above 1310.44


Larger Image

The EUR attempt to establish a s/t bottom, if it achieved, it is another positive for my preferred equity scenario.

Regarding the larger time frame scenario, I am assuming that given the ovearll price structure + overbought readings + potential negative divergences + Sentiment + VIX falling wedge + etc. etc.. price is in the process of establishing an "important Top".

I mentioned that I am closely following NDX and KBE since both are tracing an impulsive wave structure from their December 19 lows, which is easier to track in order to be ready for the Top.

Today I add to the radar screen XLE, the Energy etf since in my opinion there is a potential Triangle break out.

The projected target for the wave (C) is: 76.50 - 83.79

If long use the gap at 69.13 as a s/t stop.


Larger Image

 

Back to homepage

Leave a comment

Leave a comment