AEX 485-500 Short Opportunity
2001:
AEX broke the 4 year positive trendline and from that moment dropped 57% in the following 105 weeks.
After breaking that trendline the price recovered until slightly above the initial break point. From there the real downward rally continued. In hindsight this point of recovery would have been an excellent short opportunity.
2008:
AEX broke the 5 year positive trendline and from that moment dropped 57% in the following 61 weeks.
After breaking that trendline the price recovered until slightly above the initial break point again (just like in 2001). From there the real downward rally continued again (just like in 2001). In hindsight this point of recovery would have been an excellent short opportunity again (just like in 2001).
2020:
AEX broke the 11 year positive trendline, a similar thing that happened in 2001 and 2008.
The price dropped sharply but is now recovering slightly. If the price recovers the next few weeks to 485-500 this would give a similar short opportunity as we have seen in 2001 and 2008.
Let me know your thoughts :)
PS: a more or less similar opportunity can be spotted when looking at S&P500 and DJ30.
AEX broke the 4 year positive trendline and from that moment dropped 57% in the following 105 weeks.
After breaking that trendline the price recovered until slightly above the initial break point. From there the real downward rally continued. In hindsight this point of recovery would have been an excellent short opportunity.
2008:
AEX broke the 5 year positive trendline and from that moment dropped 57% in the following 61 weeks.
After breaking that trendline the price recovered until slightly above the initial break point again (just like in 2001). From there the real downward rally continued again (just like in 2001). In hindsight this point of recovery would have been an excellent short opportunity again (just like in 2001).
2020:
AEX broke the 11 year positive trendline, a similar thing that happened in 2001 and 2008.
The price dropped sharply but is now recovering slightly. If the price recovers the next few weeks to 485-500 this would give a similar short opportunity as we have seen in 2001 and 2008.
Let me know your thoughts :)
PS: a more or less similar opportunity can be spotted when looking at S&P500 and DJ30.
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