Often I tell others, that I can be wrong, and don’t mind to be… but if I am right, then…?!
So, besides saying I told you so, let’s just look at the price action of yesterday and a few new developments just now.
Pulli;g out the 4h charts of the S&P500 futures, you can see a failure of the 55EMA. VERY IMPORTANT THAT THERE IS FAILURE as it indicates an imminent and undercover bearish state. Furthermore, yesterday closed at a new low, and with that, below a support… kinda obvious when the stars all align, isn’t it? Very clear by now.
This morning, Morgan Stanley put out an article in MarketWatch, headlining Watch out for ‘dead cat bounce’ in stocks because there’s more pain ahead: Morgan Stanley’s Wilson
LOL… yes we sho LS have already seen the dead cat bounce last week. And angry bears cometh… Meanwhile, the current MarketWatch.com headline is Dow Futures drop 200 points as China stocks slide.
So let’s see how it breaks down for us to see such insights from yesterday…
As mentioned earlier, the S&P500 closed with an indicative doji, and once the Chinese markets opened, all hell is breaking loose… way below the support. Day by day, it is very lie,y to reach the 2600 downside target, which once looked inconceivable, but now getting more likely.
The Russell200 ETF IWM closed at a recent record low, indicating that the broader market is not yet ready for a bounce, dad cat or otherwise.
Perhaps most impressive highlight that I would want to shout out would be the Latin America ETF. Check out the daily chart below… I’ve taken the liberty to draw a prospective price action, well into 2019. That’s what I see… and I’m ok to be wrong. But what if I am right?
Question I have for you… the person or people you entrust your investments with, do they look out for you like this? My personal experience never had this, and that is why I took it upon myself to train up myself over the years to be ready and able to manage my own opinions, and expectations over my investments. This is another story for another day. Perhaps if anyone is interested to discuss… 🤔
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