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Cyclewaves

The End of a Bear Market : Structural Breaks 📉📈🐻 Bear Market Recap: A bear market is marked by a prolonged period of declining prices and pessimistic sentiment. It can be challenging for investors, but it also sets the stage for a potential turnaround. 📉 Structural Breaks: One of the key signs that a bear market might be ending is the emergence of structural breaks on the price chart. These breaks could include a series of higher highs and higher lows, indicating a shift in market sentiment. 🚀 The Bullish Catalyst: Structural breaks are often accompanied by increased buying interest, a resurgence of optimism, and a more positive outlook for the asset in question. 🔍 The Importance of Retesting: After witnessing structural breaks, it's common to see a retest of old highs or key resistance levels. This retest serves as a critical validation of the new bullish sentiment. If the asset successfully retests and holds above these levels, it could be a sign that a new bull market is underway. 🔮 The Future Unfolds: While recognizing the signs of a potential market shift is valuable, always approach it with caution. Markets are complex, and not all structural breaks lead to sustained bull markets. In conclusion, identifying the end of a bear market and the start of a new bullish phase involves recognizing structural breaks on the chart and understanding the significance of retesting old highs. It's a critical juncture in market dynamics and can present exciting opportunities for investors. Stay vigilant, stay analytical, and remember – the transition from bear to bull is a moment of transformation and potential growth! 📊🚀 ❗See related ideas below❗ Follow + Like this post and share your insights in the comments; your engagement fuels the creation of valuable content! 💚💚💚
INDEX:BTCUSDLong
by Yaroslav_Krasko
4
Silver looks having topped in a corrective bounceAccording to principle of synchronicity proposed by JM Hurst, from time to time several distinctive cycles reach their respective bottoms simultaneously. In other words, cycles get aligned at bottoms or troughs. However, cycles reach their peaks in asynchronous way! This is why when we deal with a big cycle topping normally it creates a string of multiple peaks. I marked up those triple tops with red arrows for you. Imagine a train with several trucks that goes over a bridge and then goes down the bridge. And those trucks reach the top of the bridge one by one. This is exactly how cycles reach their peaks! That means that you should not expect a strong rally to turn down on a dime right after the first topping signal. You may consider two first topping signals as quick short opportunities and wait for the third topping signal to build a swing short position. The red horizontal lines are levels of resistance produced by peaks of different cycles. The thickest red lines are those that come from the strongest cycles that move price on higher timeframes. Quite often those strong cycles would NOT be the last to top or bottom! Quite often the last one to top would be a micro cycle from a lower timeframe. What I see as a good shorting setup is when price overshoots the resistance of a thick red line, a resistance printed by a cycle from the highest timeframe and hits a micro resistance of a minor cycle.
COMEX:SI1!
by CastAwayTrader
ES and NQ - broke out overnight driven by 4 hr Up CycleOb Feb 3 we got a new cyclical support on 240 min charts of ES and NQ. On Feb 4 bears tested it two times and failed to break under it. Then price turned back up strongly and has been pushing price higher. Overnight both indices broke over 60 min resistance, jumped over resistance but then came back down and retested the broken-resistance-turned-support from above. Then price turned back up again and accelerated its move up. Today we should expect a pullback making a higher low printing a new cyclical support (over the broken resistance on 60 min charts ) together with the Strong Buy signal. That would be the next attractive trading setup.
CME_MINI:ES1!
by CastAwayTrader
Spy - Cyclical bottom , potential long positionUS markets had a bad day on the streets and would have had some traders scared, but price found support at critical levels. After a long trend following price chart on Daily, price broke through below the Bollinger bands and in a scary position. We need to watch for price action, and see if it falls back in the bands for further review. From a cycles perspectives, as seen on the charts, price has come down in the corrective zone, making a potential bottom. This could be a great time for a swing trade, once we are sure a bottom has been made. Once the bottom is made, then we get onto the rising phase of the cycle, where we expect higher prices What will be interesting is whether price, in this ring phase, is make a higher high, or does it fail at important resistances Points of observations: 1. Price found support on 124 Day MA and retraced higher. 2. Price found support on 20 Week MA (Should act as a support, if it sustains) 3. Fed Tapering in the news will have an impact Dow Jones Industrials and Dow Jones Transportation stocks both charts have been more negative than the QQQs and SPYs.. Look out for this space, todays going to be an interesting day!
AMEX:SPYLong
by LoveForCharts
2