Friday, April 20, 2018

Elliott Wave Stock Market Update - April 20






















The market did not go up as expected and instead closed the day with signs of a possible reversal. The close below the TA and the 50 DMA is not a good sign for the current uptrend and if these 2 levels are not recaptured next week then we might end up seeing a death cross fairly soon. Technically speaking, the market could just be digesting recent gains but I think it's better to be cautious given the potential bearish rollover. I ended stopping out at a loss but will trade again if I see another another low risk set up.

Have a great weekend!

Short Term Trend = Bullish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Thursday, April 19, 2018

Elliott Wave Stock Market Update - April 19






















I thought the market was going to go a bit higher before coming down to test the 50 DMA but it happened sooner than I expected and we should find out soon if the rally really has legs. If we see a strong impulsive move this week then we are are looking at a nested bullish 1-2. If we see just a higher high then the market will need a bit more time before it stages a substantial rally. I ended going long at the 50 DMA as I had been planning.

Short Term Trend = Bullish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Wednesday, April 18, 2018

Elliott Wave Stock Market Update - April 18






















Prices made a higher high today and it looks like it might push even higher before a test of the TA or the 50 DMA. If the market is able to focus on earnings and overlook recent negative news then we should see prices climb substantially higher before a the return of the bears.

Short Term Trend = Bullish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Tuesday, April 17, 2018

Elliott Wave Stock Market Update - April 17






















Prices were able to close comfortably over the 50 DMA and this solidifies the current uptrend. Also, this breakout puts in play the bullish target for the bottoming pattern I first mentioned couple of weeks ago. The target is 2795 and is conveniently right at the 2800 resistance level so assuming a coming correction to test the 50 DMA at 2685 is successful, we should see prices push higher. This bullish move doesn't necessarily mean a bigger correction is not in the works but it does point a bullish bias in the near future. I will be going long in a test of the 50 DMA, hopefully in the next session or two.

Short Term Trend = Bullish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Monday, April 16, 2018

Elliott Wave Stock Market Update - April 16






















The market managed to close above resistance and this helps the bullish case. However, I'd like to see prices get past the 50 DMA at 2687 before assuming there will be a successful breakout that will send prices well above 2700. Looking at the intermediate term chart it looks like the market is getting ready for a death cross so bulls have a limited window of opportunity to avoid this. I have been cash to be on the safe side, no need to rush.

Short Term Trend = Bullish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Friday, April 13, 2018

Elliott Wave Stock Market Update - April 13






















Prices attempted to break resistance again today but gains were reversed by the end of the day. Still, the close for the week was positive and the TA is back to bullish so I assume there will be another attempt at breaking out early next week.  I think if Trump stays away from twitter or focuses on just Alec Baldwin then we'll have a rally on Monday. I haven't had the chance to go long but maybe I'll do so early this coming week.

Have a great weekend!

Short Term Trend = Bullish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Thursday, April 12, 2018

Elliott Wave Stock Market Update - April 12






















The market pushed again towards resistance but has not been able to through it yet. If resistance breaks we should see prices shoot immediately towards the 50 DMA at 2693 and we will see then if the rally truly has legs. Seasonally speaking, this is normally a good time for the market and is not only until late May when things start to turn bearish/neutral. But considering the current political climate, we should be ready for volalitity.

Short Term Trend = Bullish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Wednesday, April 11, 2018

Elliott Wave Stock Market Update - April 11






















The market ended the day in red but the close was again over the Trend Average and this turns the trend bullish again. So unless the market makes lower lows soon, prices should go higher and eventually breakout of resistance. Also, it's worth noting the bullish daily MACD cross and this signal is more often than not right in where the market is headed for few weeks. So I am assuming 2700+ will be coming soon.

Short Term Trend = Bullish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Tuesday, April 10, 2018

Elliott Wave Stock Market Update - April 10






















The market rallied today again towards the resistance area (2672-2674) and we should find out soon if bulls intend to break it. The pattern does look like a bottoming pattern but there needs to be a breakout to confirm it. Also, we need to keep in mind the latest Trump news are serious and could cause a lot of volatility as events happen. If there are criminal charges against Cohen (Trump's personal attorney), Trump will be in a lot of trouble. The FBI can dig up a lot of dirt and that's why Trump is more preoccupied with the FBI than anything else. Maybe Mr Law and Order shouldn't have picked a fight with the FBI in the first place.

Short Term Trend = Bearish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Monday, April 9, 2018

Elliott Wave Stock Market Update - April 9






















The market showed strength at the opening but then it started reversing after approaching resistance. The close is again under the TA and we should know of there is a bottom in place or if the selling will continue in the next session or two. The lows at 2586 and 2573 are critical for the bottoming pattern, if they break prices will go towards a test a test of 2553. If bulls are able to clear resistance at 2672-2674 then prices will rally well into the 2700s. I would have gone long had the reversal not been so bearish, so I will wait until the market makes up its mind. No rush here.

Short Term Trend = Bearish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Friday, April 6, 2018

Elliott Wave Stock Market Update - April 5






















The market sold off today and tested the 200 DMA again as I had been expecting. However, the 200 DMA continues to hold and I see a potential bottoming pattern. Unless selling continues next week and breaks the recent low at 2553, the chart pattern favors upside into the 2700's. So I'll probably deploy some cash early next week for a short-term trade if the bottoming pattern continues. However, if 2553 and 2532 break then it will be downhill. The Trend Average continues to be bearish and a death cross seems likely sooner than later.

Have a great weekend!

Short Term Trend = Bearish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Thursday, April 5, 2018

Elliott Wave Stock Market Update - April 5






















The counter-rally has continued today and prices closed the day challenging the resistance band in the 2659-2674 area. Prices should retreat tomorrow and bulls would have to defend the 200 DMA again at the 2592 level. The recent volatility will likely continue for as long as Trump keeps talking about trade tariffs. Maybe he will pay attention to his recently appointed Director of the National Economic Council.

https://www.cnbc.com/2018/03/03/kudlow-mr-president-tariffs-are-really-tax-hikes.html

But we all know Trump is a stable genius and will MAGA!

Short Term Trend = Bearish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Wednesday, April 4, 2018

Elliott Wave Stock Market Update - April 4






















The market sold off early morning but staged an impressive comeback to close the day firmly possitive. The close was above the TA and prices could go as high 2659 if the move continues. We should find out fairly soon if we are going to see a death cross in the market, this unusual volatility is sign a confusion and continued trade war headlines will continue to damage market sentiment.


Short Term Trend = Bearish trend being challenged
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Tuesday, April 3, 2018

Elliott Wave Stock Market Update - April 3






















The market staged a counter-rally today and we could see prices challenge the the TA and go as high 2659 if the move continues. However, the overall downtrend is likely to continue and eventually cause a death cross sometime in May or summer. The only thing that will reverse this downtrend is the recapture of the 50 DMA currently at 2721.

Short Term Trend = Bearish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking

Monday, April 2, 2018

Elliott Wave Stock Market Update - April 2




The market made a lower low as expected and the close was under the 200 DMA (2589). I assume the 2532 low will be tested if the 200 DMA is not recaptured asap and if that support level breaks the chance of a bear market coming increases considerably. I have been in cash for a few weeks now and might go long only if I see a sign of a bottom pattern at 2532. If not, I will be just saving as much cash as possible and take advantage of the bear market sale. What I wonder about is if we do we get a bear market, will the economy follow soon into a recession? Odds say we will likely get a recession within 18 months as we are now in the second longest economic expansion since records have been kept. Also, given the disastrous decision to implement tariff on others bypassing the WTO will surely help the bear cause. Maybe I am dreaming but imagine 1575 in 2019 :) 


Short Term Trend = Bearish
Medium Term Trend = Bullish trend being challenged
Long Term Trend = Bullish


* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking