I don't trade this index, however the patterns and resistance lines are screaming to be noticed. I am now thinking about getting in the action when the reversal is confirmed. This seems to be a bear that will last several years. Check my other assessment of the Long term view of the EURUSD which seem to confirm this position.
The market is likely to rise to 2078 where it will be met by a tremendous resistance zone, at which I expect the market to react violently to the downside. If this happens it will have failed to break a major resistance on three occasions which could mean you might never see the 2100 - 50 levels again, possibly for years if not decades (I stand to be corrected on this - it's just my sentiment on the nature of the approaching bear)
If it breaks 1990 the next bounce will be around 1950 where it should recover to the 2000 area before being slaughtered to the 1760 zone
I have not done an analysis on Gold yet but just by looking at these negative patterns coming out of the US markets, whoever buys Gold now and doesn't sell it, will make a killing in the coming months.
The market is likely to rise to 2078 where it will be met by a tremendous resistance zone, at which I expect the market to react violently to the downside. If this happens it will have failed to break a major resistance on three occasions which could mean you might never see the 2100 - 50 levels again, possibly for years if not decades (I stand to be corrected on this - it's just my sentiment on the nature of the approaching bear)
If it breaks 1990 the next bounce will be around 1950 where it should recover to the 2000 area before being slaughtered to the 1760 zone
I have not done an analysis on Gold yet but just by looking at these negative patterns coming out of the US markets, whoever buys Gold now and doesn't sell it, will make a killing in the coming months.
Comment:
The S&P has just completed a triple top formation and there is a head and shoulders on the 3rd top. Which means the downward movement is being confirmed and should start a general downward trend as was forecasted.
