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Tuesday, December 3, 2019

Market Update 12/3/2019 - DOW 28,000 breaks

The short term charts are breaking, so we'll be going to longer term charts.
I see a 27500 target on the DOW. Still trading in a bullish channel

$SPX 3100 is taken out in pre-market. That's going to take out my pink stophunt, on my 10 min chart, so we're bound to see some panic selling at the open.


In yesterday's blog, I mentioned that the Michael Bloomberg Network, was trying to blame this pullback on Trump, as always do, and next thing you know the Trump campaign bans their reporters from covering any further rallies, or campaign events, and Trump labels Globalist, China lover, Michael Bloomberg, "#mini-mike".   See: Trump campaign to blacklist Bloomberg News - axios
Also See: Video shows Bloomberg saying China's 'Xi Jinping is not a dictator' Taiwan News 


Later in the day, I'm checking the charts, and notice that $APPL and $AMD aren't being sold, and tweet the bullish chart, and only a few hours later $JPM raises their target on Apple.



$APPL - looks like it's trading into a bullish consolidation in wave 4. I'll be providing updates on this one, in my twitter feed.




Something I forgot to mention last week, is the gap target on the $NYSE, finally filled. I did however alert to it in the public charts area, and you'll find an identical chart in there. This index failed to make a new all time high, and a (W) - (X) - (Y) pattern is a bearish combination pattern. That would mean that the entire rally of 2019 was a snap-back rally in a bear market.

Looking at the DOW, you can see the larger EW count - a bearish running wave B - in a sideways triangle, or pennant pattern. Yesterday's little sell-off is hardly even visible on the chart.

It's too soon to establish a down-trend in a bear market, but we'll see what pattern develops, and which sectors are leading.

I was feeling a little under the weather yesterday, so I didn't spend much time charting, and will probably be taking it easy, again today.

I still think we could see a big bull market in energy, and you see it consolidating on the chart below.
$IXE - Energy


My thoughts are they will run Energy up on the Saudi IPO. Sectors rotation out of Tech, and whatever else is over-bought, into Energy stocks. 

We could even see  gold money rolled over into Oil.  

$GOAU  miners -

Oil - The trend remains up, and the $USO closed on the 50 day ma. That's the level to watch


Everyone is bearish Energy, and most investors know Oil sands is a bankrupt industry, so I wouldn't be expecting worse news. 

That's it for today. I'm going to have my hands full at today's open.

Take Care,
AA

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