Dow Jones Market Correction Potential Levels
Updated
DJI with the clear breakouts from long-term channels (blue & dark pink).
Interestingly "smart money" appears to have been incredibly prescient in timing a perfect sell-off before the p-demic lock-down and March 2020 crash.
Most likely correction will be approx 40% from ATH to about 21.7k.
Minimal market correction of 20% to 29.5k has low probability of being the floor given the significant "quantitative easing" realized.
Correction to the top of the original long-term blue channel would be 60% retraction and would indicate a complete market reset.
40% corrections have been a common trend reflected in the NDX chart with events, posted yesterday and linked here.
Interestingly "smart money" appears to have been incredibly prescient in timing a perfect sell-off before the p-demic lock-down and March 2020 crash.
Most likely correction will be approx 40% from ATH to about 21.7k.
Minimal market correction of 20% to 29.5k has low probability of being the floor given the significant "quantitative easing" realized.
Correction to the top of the original long-term blue channel would be 60% retraction and would indicate a complete market reset.
40% corrections have been a common trend reflected in the NDX chart with events, posted yesterday and linked here.
Comment
Inflation measures are continuing to reflect major headwinds, commodities spiking, recession risk increasing. Deep retracement similar to if not worse than housing market crash in 2008.
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