A few weeks back I showed the following chart of what I was currently watching. Here it is again. To wit:
I’ve had a few inquiries concerning if my original thoughts had changed in light of the latest “market” machinations. My response was: no.
However, with that said, I thought it was only fitting to put up an updated version for those that may want to know why, as I had explained to them. Here is that updated version as of this morning before the U.S. markets open. Again, to wit:
Basically nothing has really changed in what I was watching from a technical perspective other than, the pattern has developed displaying a few more details such as time and what is now shown to be a “fake out” styled sell off.
So, now including that “fake out” dip, I’ve just moved a few lines to encompass what is now a larger pattern. But the implications to my eye appear the same as before.
Just to reiterate, that shaded box at the upper extreme is at the same levels as the prior observation weeks ago. Nothing has changed except for the fact that we are finally knocking on that door.
Can we go higher? Sure can. Actually, we can go much higher via a technical view such as to make new “never before seen in the history of mankind new highs.” Yes, the above certainly supports that appraisal. However…
It’s the failure of doing so that has the real implications for the “markets.” And that is the reason why I’m still watching how this all plays out this week. For this week – may be one for the history books.
Just which story as in, good, or bad, is now what needs to be shown.
As always, we shall see.
© 2019 Mark St.Cyr