Happy New Year!
It's amazing how time seems to accelerate as one gets older. It's 2016 and I remember back in 2010 the EW bearish crowd were expecting the DOW to be in triple digits by now (just off by couple of digits). However, they also did predict a "bottom" in 2016 according to their moon/wave/voodoo cycles they follow, so maybe they might be right on that one.
http://discuss.morningstar.com/NewSocialize/forums/t/263031.aspx
The market had a horrible first day of the year, thanks in part to China's manufacturing PMI and the Iran-Saudi Arabia drama. The short term trend turned bearish with today's sell off and the daily MACD went negative as well but we'll see what the bullish response is the rest of the week. I am staying away from longs on the SP500 but I'll start to accumulate Russian shares and maybe some more Chinese shares. The whole thing in China continues to be overblown and misunderstood. The number I am really paying attention to is their service PMI which comes out Wednesday. Also, if Iran and Saudi Arabia go to blows, expect oil to shoot way up. Despite all the negative press Iran has gotten over the years, the source of all the terrorist ideology comes directly from Saudi Arabia. It's their second biggest export after oil actually. I never knew the difference between sects among Muslims up until recently, despite the fact of having Turkish and Iranian roommates over the years (I even dated an Iranian woman). But it's worth reading up on it as one can see what is what and how our governments are turning a blind eye to the actual source of Islamic terrorism for the sake of oil.
For further analysis on the NASDAQ, DJI, RUT, Gold, Silver and Oil please visit http://www.ewaveanalytics.com
Short Term Trend = Bearish
Medium Term Trend = Bearish trend being challenged
Long Term Trend = Bullish
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