- The situation for the stock market is really terrible. The fundamentals have never been worse in the last decade and it looks like we are going to drop even lower.
- We have probably started a brand new major uptrend in interest rates that can reach 15% – 20% in the near future. Also, government bonds are rising, which is deadly for the stock market.
- Let’s be honest, it’s not the best time to be in the markets if you are an investor. I believe there is an opportunity for swing traders and also day traders.
- There is a possibility of a 10-year sideways bear market for the whole stock market, as happened in 2000 – 2009 or 1968 – 1980.
- The price is moving in a descending broadening wedge pattern and there is more than enough space to go lower from the current price.
- Regarding my Elliott Wave analysis, we have completed 2 first waves (A, B) and we are currently in a C wave if we want to stay bullish . It can also be a third wave of the impulse (1, 2, 3, 4, 5) as a bearish scenario.
- I expect the 2700 level to be a strong support, which is also the FIB 1.618 extension from wave A -> B. There is also a confluence with the POC level of an expanding triangle from 2018 – 2020.
- Look at my ideas about GOLD and Bitcoin in the related section down below.
The big short – S&P 500!
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Professional trader and analyst. My specialization is in Elliott Wave Theory, Fibonacci tools, chart patterns, candlesticks, and price action. To analyze market structure, I use market profile and volume profile in my trading system. To analyze trends, I use trendlines, VWAP, and simple moving averages.