Broader market continues to make new highs
I was ready to get bullish again, but I think we're looking at a false breakout (in a sub-minuette wave "d"), and I don't see any reason to chase this market, unless you're very nimble and trading short term charts (intra-day).
My short term forecast: Buy this morning, sell the rally, buy support in a couple days. Rally into March - in wave 5.
$SPX - Sell wave "d". If it breaks above my target, then sell it when it breaks back down below that level, as that would be seen as new support, and when support breaks you sell.
Dow is expected to breakout to a new high, after holding support last week, but I wouldn't be chasing stocks up here. Trust the S&P chart.
The Russell 2000 may already be leading a bear market, but it's too soon to confirm a reversal. Wait for the snap-back rally.
Biotech has lagged, and I'd be looking for a bullish trade there. Back to the top of the range. See the thin purple lines for the suspected wave 4 pattern (a sideways contracting triangle) in wave 4. We may not see much movement until Trump addresses the congress Tuesday night.
Oil continues to trade in the top of the range, but looks like it wants to take out the recent lows in a panic wave E.
$NATGAS - I like it around 2.58 at the end of the month. Maybe it rebounds with Oil around the same time?
$HUI Gold Bugs index
Gold miners still look like they want to rally, as the market sells off in a panic. Makes sense, right?
$Gold - Super bearish long term, but looks like it wants to go a little higher in the near term.
Should be an exciting week.
Good luck, AA
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