Masterful Bear Trap Hindsight is always 20/20
We have clear 5 pivots down
PA since the last low has been beautiful
Bears will now see two opportunities
They will short any perceived rejection of the downtrend line which is a little higher
They will also short any perceived rejection of a higher high
Hence those moves are likely to be volatile and eventually rocket fuel for up
I don’t really see any more big pullbacks for the foreseeable
We should hit the downtrend line in early December
There will be a perceived rejection which should rapidly fail
Then all bulls’ energies will be placed into shorting a perceived rejection of a higher high ‘double top’
The higher high should be made with a nice pop in Q1
After that I think it will just range around 4500 for most of Q1 despite a plethora of bad economic news
The narrative up there will be too risky to buy and waiting for a double top
That double top may or may not come
Whilst the index is steadily marching higher and giving bears intermittent hope, big gains are likely in distressed stocks and crypto
GRI 2022
