Just some ideas on recent bear markets and what to look out for during "bottoms". Although I think we could have a decent rally soon, I think the bottom of this particular bear market may still be far away. Some thoughts on 2007-9 bear market, 2000 bear market, and 1987 crash.
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Potential 4 hr hidden bullish divergence. We opened above Friday's close.
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Possible area to buy - double bottom and smaller structural support. Hourly bull divs at this double bottom as well. Nothing confirmed until 3660 is taken out and even safer - 3700. Transports showing relative strength so far today, sometimes a bullish sign. Buyzone is incorrect under 3600 on an hourly close. They may try to get stops out from Friday before any buying comes in - if that happens. Bears still in control and trend is down, so be careful.
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getting a reaction at 3600 level after undercutting Friday's lows. Bulls want to pull up past 3660 bears want 3600 taken out on a daily close. Nothing is confirmed yet.
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looks like a bear trap after stops were taken out from Friday's low, The low should be in if we are going to rally
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here's the line both sides are trying to capture, bounce was from the weekly 200 sma
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US DOLLAR starting to break the wedge, not confirmed yet. Bulls are tough here.
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DJT transports still positive on the day
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daily candle shows indecision - Bulls held the 200ma weekly (bullish) and the structural trendline, but bears kept them under the high of the day. I'd say that's a draw and the candle shows it. If the dollar falls overnight expect the markets to rally, and the djt (transports) showing strength may be a hint. On twitter "great depression" was trending which I thought was interesting. Over 3650 and it will look much better for bulls but - solidly under 3600 tomorrow and it will look better for bears. ok that's it for the day good luck -
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Breakout of falling wedge with a bear trap thrown in - rally looks ready now
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breaking above resistance level
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retest of resistance - turned support - area, objective buy zone
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they reversed hard so it looks like we'll make one more low. Weekly BB is at 3491 and may be the target. I still think this week is the reversal.
