Broader Market DivergenceI’ll just leave this here for all the soon-to-retire boomers who chose exponential growth via debt-based-currency and think they’re going to live three leisurely decades of retirement. #learntocode
IYY trade ideas
The DOW's future is not looking bright!As much as I want to be completely wrong about this idea, I think this could be it for the DOW. What I mean by "it" is there is a HUGE correction period lined up for the DOW which will last decades! The DOW looks like it has reached the top of its 5th elliot wave, which has caused massive gains all around the U.S. for individuals and the economy for years. Unfortunately, I see this as a ticking time bomb.
Ticking Time Bomb Signs:
1.) This is indeed the 5th wave which means we can see a correction of as short as fib level .382 (38%). However, that is very unlikely and we are looking at a correction on more towards fib level .618 (61%). Also, take into consideration how massive the DOW is. Just a 38% correction would be a major hit on the economy itself.
2.) Looking at the Stochastic RSI (indicator on the top of my chart) in the month time frame, the DOW has been operating at 100 RSI for a year straight. The Stoch shows you basically if markets/stocks/coins/etc are being oversold or over bought and everything in between. This has been an amazing year, almost unbelievable for the DOW. However, this is a sign of a major "snap back" coming.
3.) Now if you're not a user or don't know exactly what the Stoch is, the regular Relative Strength Index lines up with my analysis as well (indicator at the bottom of my chart).The RSI has NEVER been this high for the DOW, pushing up to 90 RSI.
4.) Another confirmation made was on the Macd. As you can see on the monthly and weekly (since the February is just starting) Macd, there is the down-tick supporting a downtrend accruing.
I have been keeping my eye on this for about a month now, maybe a little more, and have been waiting to see where the possible peak of wave 5 is. I believe it was at 26,500 in January. Once again, I hope I am completely wrong, because this correction could cause some economic problems and many jobs being lost. If you look back at the last corrections of wave 1 and wave 3, we had a depression lasting years and then two economic collapses in the other correction. If my analysis plays out, what we want to see is a slow gradual descent. Hopefully no major factors causing a large crash.
Let me here your thoughts...
s3.amazonaws.com
Not taking into consideration the EMA's and volume, here is a weekly time frame supporting my analysis of the Stoch, Macd, and RSI.
