Prices gapped down today to a lower low before bouncing somewhat the rest of the session. This close turns the Trend Average bearish and I assume there will be substantial downside ahead. It is still too early to call for a top for the year and the weekly charts does point to a higher high in the future. However, as long as the trade war is in the background, I can't imagine the market able to overcome that. After all, the strongest profit growth for the SP500 comes from abroad and if the US becomes more isolated, that growth will not be there. One could argue the stronger domestic economy will make up for loss overseas profits but I don't think it will be sustainable. The Trump tax cuts were great for the economy, but this trade policy will drive us into a recession. Economy aside, I am still in disbelief at the systematic child abuse implemented at the border by Trump and his administration. Hitler would be proud of him!
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
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