Djiaprediction
DJI Analysis after reaching 6.2 % CPI, Inflation rate Hello everyone, as we all know the market action discounts everything :)
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U.S. stock markets opened lower on Wednesday after data showing the U.S. inflation rate hit its highest in over 30 years, something sure to put fresh pressure on the Federal Reserve to tighten monetary policy faster.
the Dow Jones Industrial Average was down 53 points, or 0.2%, at 36,267 points.
The DJI index had hit a record high within the last week after the Federal Reserve had indicated at its last policy meeting that it expected not to have to raise interest rates for another year.
Consumer prices rose 0.9 percent month over month in October and 6.2 percent year over year, according to the Labor Department, the highest rate in more than 30 years. The increase was broad-based, and the core CPI increase accelerated to 0.6 percent on the month, for an annual rate of 4.6 percent.
From a Technical point of view :
The DJI is still showing Bullish signs all over the technical side but this might reverse if the Federal Reserve doesn't come up with a plan to beat inflation, The market is trading at 36278.36 and could be moving to the first support line located at 36076.01 where it might pull up again, in case the situation doesn't change then we might see a further drop reaching the support located at 35456.54.
Technical Indicators show :
1) the market is still above the 10 20 50 100 and 200 MA and EMA (Bullish sign)
2) The RSI is at 67.22 and dropped from the overbought zone today, with no divergence found between the indicator and the market.
3) The ADX is at 25.94 indicating a trending market with a positive crossover between the DI+ (31.05) and DI- (16.30).
Support & Resistance points :
support Resistance
1) 35924.67 1) 36608.31
2) 35520.26 2) 36887.54
3) 35241.03 3) 37291.95
Fundamental point of view :
U.S. President Joe Biden said on Wednesday he has asked National Economic Council to work to reduce energy costs and the Federal Trade Commission to push back on market manipulation in the energy sector in a larger push to reverse inflation.
The Democratic president said he was committed to the independence of the Federal Reserve in its efforts to combat inflation. "Inflation hurts Americans pocketbooks, and reversing this trend is a top priority for me," he said in a statement.
This is my personal opinion done with technical analysis of the market price and research online from Fundamental Analysts and News for The Fundamental point of view, not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.
Dow Jones gained 0.39% what's next ?Hello everyone, as we all know the market action discounts everything :)
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U.S. stocks were higher after the close on Tuesday, as gains in the Basic Materials, Technology, and Healthcare sectors led shares higher.
The Dow Jones Industrial Average rose 138.79 points, or 0.39%, to 36,052.63
Possible Scenario for the market :
The market is trading right now at $36052.64 and the trend is moving with a strong Bullish momentum that started on the 28th of October, After a sudden drop in the market.
This Bullish movement will probably be reaching the $36115.86 resistance level where it will be aiming to breakout that level to reach the resistance at $36380.11.
In case the Bears tried to make a move then we could be seeing a drop that most likely won't reach any further than $35456.54.
Technical indicators show :
1) The market is above the 5 10 20 50 100 and 200 MA and EMA (Strong Bullish signs)
2) The MACD is above the 0 line indicating a Bullish state in the market, with a positive crossover between the MACD line and Signal line.
3) The STOCH is in overbought zone with a positive crossover between K% (97.80) and D% (96.21)
Weekly Support & Resistance points :
support Resistance
1) 35575.99 1) 35978.05
2) 35332.38 2) 36136.50
3) 35173.93 3) 36380.11
Fundamental point of view :
The Fed will release a statement at the end of its two-day meeting on Wednesday when it is expected to announce the start of tapering its bond-buying program. Markets also are pricing an interest rate hike at the Bank of England meeting on Thursday.
"Most times, markets are happiest when they get predictability when they get what they expect, and I think the expectation is that they are going to taper," said Randy Frederick, vice president of trading and derivatives for Charles Schwab (NYSE:SCHW) in Austin, Texas.
This is my personal opinion done with technical analysis of the market price and research online from Fundamental Analysts and News for The Fundamental point of view, not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.
Am I Crazy to Expect DJIA to Drop by 8000 points Long Term?Markets are strong and the outlook currently is very bullish. So anyone who thinks that markts will drop significantly in the mid to long term would be laughed at right?
But i just cant help but notice that markets are way too high at the moment. everything seems pretty over valued - although market analysts will say the valuations are just about at the right level if not still low.
Could all these excellent company earnings be transitory, thus skewing the markets?
or perhaps theres something more to come, such as another wave of teh pandemic that could pull the markets down.
Whilst we are yet to see what it could be... my better judgement of technical alalysis tells me we could see a big correction in the markets over the long term.
Im aiming for around 26,000 for teh DJIA. Time will tell.
DJIA going up more or a reversal is dueHello everyone , as we all know the market action discounts everything :)
The Dow Jones Industrial Average closed at a record high on Friday while the market close above 35,000 for the first time ever, bringing its gain for 2021 to more than 14% clinches four consecutive days of finishing in the green, The DJI seems to be getting even more momentum by day and we could be seeing something big happen in the next few months and the price reaches the 40000 range.
Using the Eliiott waves theory we can see that the market could be in the middle of his second impulsive wave and the price could be reaching the 35411.49 resistance line by the end of the wave .
The market movement is still in the range of a upward channel with no reversal patterns to be found yet , A move over 34951 will show us the presence of buyers. breaching 34993 will tell us that the buying is getting stronger. This is a potential trigger point for an acceleration to the upside since there isn’t any resistance .
A move under 34951 will show us the presence of sellers. If the move is able to create enough downside momentum then we might be looking for a pullback into the first retracement zone at 34308 to 34146. Since the main trend is up, buyers will probably come in on a test of this area.
technical indicators showing that :
1) The market price at 35061.56 trending above the MA 34765.01 and EMA 34747.79 (bullish sign)
2) The RSI is at 58.21 showing great strengths in the market with the possibility to reach overbought zone soon (bullish sign)
3) The MACD at 131.29 showing great momentum in the market with a positive crossover happening ( bullish sign)
Support & Resistance points :
support Resistance
1_ 34527.11 1_34969.30
2_ 34366.37 2_35250.75
3_ 34084.92 3_35411.49
Fundamental point of view :
The focus shifts to tech stock earnings and the Federal Reserve. Traders aren’t expecting much from the Fed, which is why the market has been rallying. Investors seem to have accepted the notion that inflation is temporary. The risk is still to the downside since the Fed could surprise again by announcing a tapering date or moving the date of the first rate hike closer.
The Fed wraps up its two-day meeting on Wednesday and its statement will be scrutinized for any mention of the timeframe for tapering its asset purchase program, although Chairman Jerome Powell made it clear in his recent testimony to Congress that the U.S. economy still needs the central bank's full support.
In June, policymakers began debating when to start cutting monthly purchases of $120 billion of Treasuries and mortgage-backed securities.
Powell may indicate that while a discussion on tapering has started, there is still time before officials reach a conclusion on what they will do. Policymakers are expected to highlight the risk from the rapidly spreading Delta variant, which investors worry could derail the economic recovery.
Most analysts expect the Fed to give a clearer indication of its plans for scaling back its quantitative easing program at its annual conference in Jackson Hole, Wyoming, in late August, before a formal announcement on tapering later in the year. According to investing and dailyfx
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This is my personal opinion done with technical analysis of the market price and research online from fundamental analysts for The Fundamental point of view , not financial advice.
If you have any questions please ask and have a great day !!!
Thank you for reading.
Dow Jones: Recovery! 🚑🚑🚑After the recent correction, the Dow Jones is recovering again. However, we believe that there is still some potential on the downside until somewhere around 33299 points. Once within that area, the Dow can start its final recovery and push for new all-time highs above 35000 points. It is only important that it stays above 32902 points.
Exciting times!
I MADE THIS FOR YOUUUU!!!Drink...my....HOT......KOOLAID!!!!!
Just my observations looking back on all the events during this credit expansion cycle. VERY interesting when you look at the RSI indicator below.
Look at all the historical market events that correlate to exact tests.
***The Cryptocurrency markets will lead the way off the cliff.
We may have already started... I really don't know if we're going to 100k but I am holding my crypto still because it is the future.
Think about it.
The best performing assets usually are the ones that crash and pop the bubble because they pumped the bubble up so much.
What has been the best performing asset over the last 10 years? Crypto.
I love crypto and know blockchain is the future, but my blockchain friends need to remember that crypto will most likely crash similar to the 1929 crash. We'll wipe away all the bad cryptos and fakes by devastating the market so badly that only the real projects stay.
Those will be the Amazon, Apple, and Google of crypto.
If you have cash at the bottom of the crash and are able to invest then, you could be set for life.
Should be able to buy a country if you figure out how to short this correctly. I appreciate any advice you experts may have. Buying VXX puts seems to be the general consensus. Maybe 1-2 years out?...
I've only traded for 6 years so I'm still trying to understand the markets.
(NOT FINANCIAL ADVICE. Just what I'm seeing.)
DJI 34269 - 0.36% SHORT IDEA * MONTHLY OVERVIEWHELLO EVERYONE
HOPE EVERYONE IS DOING GOOD HAVING A GOOD ONE, READY FOR THE MARKET THIS WEEK, HERE'S A LOOK AT THE DJI INDEX FROM THE MONTHLY CHART.
IF THIS IDEA ASSISTS IN ANY OR IF YOU LIKE THIS ONE
SMASH THAT LIKE BUTTON & LEAVE A COMMENT.
ALWAYS APPRECIATED
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* Kindly follow your entry rules on entries & stops. |* Some of The idea's may be predictive yet are not financial advice or signals. | *Trading plans can change at anytime reactive to the market. | * Many stars must align with the plan before executing the trade, kindly follow your rules & RISK MANAGEMENT.
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FINAL WARNINGI am OUT. This is getting crazy and I am pretty gosh darn confident in this count!! The RSI readings match the wave count as well.
Red Box = retest of the momentum resistance, indicative of a wave 5.
Yellow boxes = I zoomed into just that final wave 5 we've been in for 12+ years and it has retested 3 times!
I'm seriously creeped out.
*My theory is that once the public realizes that inflation will not be transitory and that all their expenses are going up, the musical chairs game is going to end.
No shame in taking some profit at least if you've been in this market for a long time. THIS IS NOT a correction that I can advise you just hold through. THIS IS depression-like correction that's coming.
You're gonna be holding the bag for probably 20-30 years before we get back up to these prices.
Please prove me wrong.
THIS IS NOT FINANCIAL ADVISE.
Dow Jones - Elliott Wave Technical AnalysisDow Jones continues to show strength, it's a slow mover as volatility is low for value stocks.
- 3rd wave's peak may or may not have reached yet, but either way still has a 5th wave to complete before correction.
- Green parallel zone represents bullish impulse still in place, upper line acts as resistance and below line also represents trend line of support.
Enjoy!
So I'm Bearish...LongtermLooks like we are in the end of an extended wave 5.
Looking for a market top coming in the next year or so.
Retail reddit traders blowing up stocks is a clear sign that we are in the final impulse as retail traders don't typically get personally involved until the end. Also the hedge funds getting margin called is a warning sign that people are overleveraged.
*Notice how in the 70's when Nixon took the USD off the gold standard, the market began it's extended 5th wave. If he hadn't have done that, the market most likely would have had a normal 5th wave comparable to where our current subwave 1 of 5 ended around 1987. So in that reality the 80's would have marked the end of the cycle. We would have gone through another depression and then started a new cycle with the internet boom, but nope.
Honestly China might take over because they'll be able to fund larger deficits and sell their bonds to take over blockchain, while we're paying off all of our ancestors debts!
Building up positions in the VIX.
If this is the top of the top though....WTF do we do...?
People say gold and silver. We also have crypto and defi now so that's good. Maybe other countries or emerging markets?
The U.S. dollar cracking is gonna be part of this so sitting in dollars isn't really an option this time!
The Bubble End Game (in terms of the Dow - DJIA)OK, so this I had mapped out quite a while ago but despite my general agreement with the widely circulated May 24, 2021 Dooms Day predictions (in as much as a likely date around which the music will stop ), this (chart)setup was still missing it's trigger . - Until last Friday, that is.
That last 15 minutes of trading on Friday, March, 26., 2021 was no ordinary window-dressing! That was a no-holds-barred locking onto the Final Target and simultaneously initiating the count-down, All-in . (By various players and in no small part by Sovereign Public "Investors" - i.e.; Central Banks.)
If one examines the Who bought What, How and Why - and why at that exact moment -, the gig is up. - Not that those key players had any place left to hide hence, the notable drama preceding the whole event during the previous 24 hours. (I imagine that by the time of this posting it's all out there so I shall spare the repetition.)
At the risk of stating the obvious, the size and enduring length of this current Speculative Bubble deserves (even demands), at the very minimum, at least an attempt to find some still unsuspecting buyers to trap and onto whom to unload as much as humanly possible before the music stops and the silence becomes deafening. - And that means;
An Exponential Blow-off Top
.... that was the trigger , this picture was missing, until last Friday, that is. (And Yes, last Friday's market close was the first and only trigger , in this particular frame work.)
- And since nothing tickles a (historically uninformed) speculator's fancy like a no-rhyme, no-reason, all-in, exponential charge into oblivion... Well, you got it! - Or at least the beginnings of one.
So, what is special about Dow 37130-37250, around the 1st week of May, 2021 that would make it a likely Final Price Target ?
- Confluences!
Providing a (rather obvious) Final Top between Dow 37130 - 37250;
... and potentially close to the much-touted May, 2021 time frame.
... after which, most likely;
... nothing but Gravity.
Game on!!...
Dow Jones: No Fooling here! 🤡🤡🤡The Dow Jones is going to experience its biggest crash in history in just about a week. No, we’re just kidding. It’s April Fool’s Day, folks! In reality, we expect the Dow to further grow and expand all the way up to regions around 34000 points. After a short correction, we are set to tackle all-time highs above that level, too.
Happy Easter Holidays!