Dow Jones Bubble to BURST with S&P 500Hi, all.
In accordance with my recent posts that the S&P 500 is set to crash, I believe that the Dow Jones Industrial Average (DJI) on the 1D chart will crash similarly soon. The DJI is showing some signs of reversal in its MACD chart as shown above, and for such a slow-moving index as itself, this bearish indication should not be overlooked. Now, in addition to MACD , the index has seemingly hit a long time resistance and looks to be breaking down because of it.
We must expect the potential for a little more bullish action, but within 2 weeks I expect both the Dow Jones and S&P 500 to break down violently. For the time being, I am going to hold my positions in shorting the S&P 500 and DJI. For higher returns, I recommend buying shares in a reverse leveraged ETF like SPXS (for shorting S&P 500 ) or SDOW (for shorting Dow Jones).
Thanks for reading, leave a like if you agree!
Dowjonesindustrial
Dow Jones (US30) AnalysisThe chart pretty much explains it all. I've slid over the Fib Retracement so that you can see the numbers better (FIB drawn from 24DEC18 candle to current candle). I believe we will retrace to the 0.236 Fib level, which is 25162 or close to it. I also believe it will turn around at the R1 Pivot Point. This being said, my stance on the Dow will be neutral i.e. Range-Bound (down and up in a sideways channel). Surprised to see my stance is not "short"? Here is why: Right now, it can go either way. We are only in February, and we have a long way to go until the end of the year. We are only roughly 600 points from record, all time highs. In the short term, I believe we will stay range-bound, with emphasis going to the Short direction. The Fed's decision to slow/halt interest rate hikes have given us a boost. We have also gotten a boost on news of a China trade deal. Any change in these decisions can send the market wildly into a downward spiral (possibly a crash?). The VIX is currently at around 13, so the market volatility has calmed down drastically from its recent highs in the mid 20's. I also believe this will be a factor in the market staying range-bound due to low volatility. Let me know what you guys think, and what trades you are doing with the Dow! Hope this helps.
Happy Trading,
Zak
The Great Depression Fractal - Part 3 (Blow Off Top Incoming?)Hey guys! Posting an update on my DJI analysis, since we're close to invalidating the possibility of further weakness (for the time being). As I said in my previous analysis, it was best to remain on the sidelines after the bounce from the 21000 area, since it was fairly strong. In addition, I indicated the possibility that we'd actually break the previous high, since this would still be in keeping with my great depression fractal. In fact, I was actually MORE concerned about a further rise. This actually makes me even MORE worried, as I think the crash will now end up being much more severe, once we've officially topped out. I actually hope we find resistance here and drop soon, for the integrity of the market.
IF we don't break down here and make a higher high, I expect us to rally at least to the top of the GIANT uptrend channel (the resistance there is real - just look at my chart). This currently lies in the 30000 area. If we break that resistance, we will likely have an even larger rally, and we will have to create a new long term channel. As you can see, in the late 1920's, we rallied higher before the final 90% drop.
Between February 1927 and July 1929, the DJI rose 233% from about 167 to 384. This means that we could indeed rise up to somewhere between 60-63000 before a huge collapse, if we break the recent high. This target is well above the channel resistance though, so a rise this extreme might be unlikely. I think 30K is more realistic. Either way, this would be an enormous trading opportunity, but it's unfortunately NOT what I wanted to see in the market. I would have preferred a recession now rather than later. This is far less healthy, and it just goes to show that humans have not learned to stifle their greed, and history may indeed have to repeat itself. This final bubble phase may be led by a potential Weed bubble (I can already see major news outlets starting to incite retail FOMO into this sector, even though the ideal buy in point was any time during the last two years).
Anyway, this isn't as long-winded as my previous chart. That analysis speaks for itself. This is not financial advice. This is purely my opinion and for educational purposes only.
-Victor Cobra
Elliott Wave View: Dow Jones Futures can soon Starts CorrectionWe are counting the entire rally from December 26, 2018 low as an Impulse Elliott Wave structure. An Impulse has subdivision of 5 waves within wave I, III, and V. And wave III is currently in progress. Internal of wave III subdivides in another 5 waves in lesser degree.
On the 1 hour chart, we can see wave ((4)) of III ended at 24862 and wave ((5)) of III is still in progress as another 5 waves of a lower degree.
Blue wave (1) ended at 25622 peak, wave (2) at 25273 and wave (3) ended at 25950. Below from there, it ended blue wave (4) at 25748 as flat correction. As long as the pivot at 25748 stays intact, it can extend 1 more time in blue wave (5) of black wave ((5)) of higher degree wave III before a pullback in wave IV can be seen. We dont like selling it as right side is to the upside.
Dow Jones Industrial Average Crash Ahead (Bearish Divergence)The chart for the Dow Jones (DJI) is basically the same one as the S&P 500 (SPX). So needless to say, this one will crash as well.
My long term analysis for DJI is still valid, you can see it here:
This new crash that is incoming is just an extension of the one I mentioned above.
Looking at the chart:
We have bearish divergence showing up on the MACD and RSI.
The rising wedge pattern is bearish in nature.
Resistance is being reached. Expect a minor push up followed by the drop.
Make sure to SELL/SHORT before the crash.
P.S. This information and all information shared on the Alan Masters (@alanmasters) channel is solely for learning and entertainment purposes only. This is not financial advice.
Hit LIKE if you found this useful in any way.
Thanks a lot for reading.
This is Alan Masters.
Enjoy your weekend.
Namaste.
Sell opport. in Dow Jones Index from 25.910-26.100Good short entry poss. D1 Dow Jones short based und RSI D1/H4/H1 analysis.
We gained a lot from the December 2018 loss, over 6%. D1 regain locks up like a V-Wrap without
a healthy rebound short. Renko shows is here perfectly.
We also got the named status quo, unsecured measurement of cooling world economy, trade crisis US/China an well known Brexit in Europe. Named problems are not gone. Also a rate hike from the FED is still possible.
Also good news for the idea: Still the rising Goldprice.
TP: D1 24.650
SL: D1 26.200
Have a good luck :)
Dow: 100 MA Crosses under 200 MADow broke out trendlines to the upside yesterday and also closed above its 100 MA and 200 MA for three days but its 100 MA crossed below 200 MA the first time since 2015 with a divergence of RSI on the daily chart.
The Dow's 100 MA/200 MA crossing down could mean a lot from a long term perspective and we might see what would follow soon.
Dow gaps up opening today and now shows lower lows and lower highs on its 15 Min chart. It seems it might be a turning point date today and we will know it for sure after the closing bell.
DJI fake rally - Ichimoku analysis1. sideway breaking the cloud upwards; thin cloud; upcoming bearish cloud with both A and B lines going down
2. price breaking up the moving and baseline well below the cloud
3. conversion line crossing up the baseline well below the cloud
4. lagging span below the cloud
Looking for selling signals from MACD / RSI / KDJ
SHORT Dow Jones bearish against 26000!Believe it or not Dow Jones has hit the spot we have been waiting and anticipating since last several trading sessions now. Please note that the indice has hit convergence points of trend line resistance and the fibonacci 0.786 levels at 25100 levels and produce a bearish reaction on smaller timeframes. It is yet to produce a bearish signal confirmation on the daily chart but potential remains high in the next 1-2 trading sessions. Looking at the wave structure, a higher degree Wave (1) and (2) seem to be already in place at 24200 and 26000 levels respectively. A lower degree wave i and ii might be already in place now at 21800 and 25100 levels respectively. If the above counts hold, prices should stay below 26000 levels and a rapid wave iii of (3) should unfold taking prices below 21000 levels going forward.
Disclaimer:
This written/visual material is comprised of personal opinions and ideas. The content should not be construed as containing any type of investment advice and/or a solicitation for any transactions. It does not imply an obligation to purchase investment services, nor does it guarantee or predict future performance. FXTM, its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness of any information or data made available and assume no liability for any loss arising from any investment based on the same.
Dow Jones potential bearish reversal from 24800/25100 levels!The Dow Jones wave structure and price action remains unchanged for now. The spot rate is seen at 24500/600 levels at this point and there may be one more push higher into fibonacci 0.786 resistance at 25100 levels before the indice turns bearish again. Please also note that the resistance trend line since 26950 levels is also passing through very close to 25000, and hence a bearish reversal could be expected at the confluence. Looking at the larger wave structure, the Dow Jones had dropped 5 waves from 26950 to 24100 levels earlier labelled as Wave (1) here. What followed can be constructed as a flat that terminated at 26000 levels, labelled as Wave (2). The drop from 26000 to 21800 levels is being seen as Wave i of (3) for now and the subsequent rally from 21800 to 24860 levels could be Wave ii of (3). If this count holds, prices should remain below 26000 levels and a 3rd of 3rd wave should be underway. Ideally this wave should be the most powerful bearish leg.
Disclaimer:
This written/visual material is comprised of personal opinions and ideas. The content should not be construed as containing any type of investment advice and/or a solicitation for any transactions. It does not imply an obligation to purchase investment services, nor does it guarantee or predict future performance. FXTM, its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness of any information or data made available and assume no liability for any loss arising from any investment based on the same.
DOW JONES THE ULTIMATE BONESYM1! looks like it has plenty of fuel left in its TANK.
DOW JONES
Untested levels lie above and below
You can have pending orders in either direction
With this information, do what you will
But always remember execution is everything
Pretty charts don't equal profits, so always remember to take proper risk adjusted setups
:)
Have we missed the big picture on stocks?This study focuses on the very long term trading chart of Dow Jones since the Great Depression in an effort to determine if stock holding remains safe following the markets cyclical correction since last September.
So far during each of the post war bull cycles every cyclical correction within the channels was supported on the previous Higher High. The only exception was 1990 but was reasonable due to the 87 flash crash of Black Monday.
The growth and duration of the current bull cycle (following the sub-prime crisis) is calculated on the average values of the previous too, although based on the relative ratios, each bullcycle may tend to be more aggressive and grow more and each consolidation/ bear cycle shorter in duration.
What those metrics show is that the current cyclical correction should not exceed 18500 and if this low is made it should be inside 2019 and start recovering towards the end of the year. Quarterly investors can look to allocate 50% of their portfolio on the current prices and the other 50% close to 18500, in preparation for the second phase of the current bull cycle.
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Dow Jones incoming meltdown!?! Will we repeat 2007-2008?Welcome to my new analysis!
The chart above illustrates my personal opinion on the Dow Jones.
As we can see on the chart above we have a pattern playing out
right in front of us. Dates and times don't lie and i can see how this
will play out very similar to the 2007-2008 financial crash. Its time
to go short or get out of the stock market all together as i see there being a
a MASSIVE correction/sell off right around the corner
Thanks, LiquidMEX
DISCLAIMER:!!!This is not to be considered financial advice is my personal opinion, always do your own research before entering or exiting trades as i will not be held liable for any of your trades!!!