[vc_row][vc_column][vc_separator border_width="5"][/vc_column][/vc_row][vc_row][vc_column][vc_column_text]Who could ever have seen the crash coming?
The market was in such great shape,
The economy was expanding rapidly,
Unemployment was below 5%,

Well, we saw it coming!

The DOW reached a low today of 23794.
The all time high at 26610 was 12 days ago,
Thats a 2816 point decline in 12 days.

The market spent the day trying to figure out what just happened in stocks!

But,

Last week I posted a chart calling for just such decline to happen!

Heres what I said;

"This weeks action has seen the first meaningful decline in stocks in over a year!
That is one heck of an achievement.
It is going to take something bigger to break the backs of those relentless bulls,
But,
Something bigger is definitely on the cards now!"

 

And here's the chart:

 

 

I followed by saying:

"The next thing to look for will be a three wave rally in wave 'ii' pink
to create a large Elliott wave signal off the high.
And the possibility for an even larger decline in wave 'iii' pink."

And BOY did the market decline in a big way!

In general,
People are still bullish despite the action over the last week.
They do not expect things to change.
In fact many will use this moment as an opportunity to double down and buy the dip.

They are dead wrong! and that will be the move to kill them.

even a simple mean reversion to normal long run valuation averages averages,
will bring this market down by 60%.
But the market will not stop at 60%!

There are big moves afoot in the markets.
And a generational shift in valuations is about to get underway.

The Elliott wave will signal when that shift is underway,
And we are close to that moment now!


If you want to stay ahead of the market,

And avoid getting crushed by the bear market to come.......

Sign up to Bullwaves.org today,

And you will not be caught off guard by the next big move!

Dont forget - the Godfather offer still stands, CHECK YOUR EMAIL!!!!!![/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][vc_column_text]

UPCOMING RISK EVENTS:


USD: Crude Oil Inventories.
EUR: n/a.
GBP: Halifax HPI m/m.
JPY: n/a.

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DOW JONES INDUSTRIALS

[/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][vc_separator border_width="5"][/vc_column][/vc_row][vc_row][vc_column width="2/3"][vc_custom_heading text="30 min" use_theme_fonts="yes"][vc_column_text][/vc_column_text][/vc_column][vc_column width="1/3"][vc_custom_heading text="4 Hours" use_theme_fonts="yes"][vc_column_text][/vc_column_text][vc_custom_heading text="Daily" use_theme_fonts="yes"][vc_column_text][/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][vc_column_text]My Bias: market topping process completing
Wave Structure: Impulsive 5 wave structure, topping in an all time high.
Long term wave count: topping in wave (5)

The DOW staged a comeback this morning after an initial decline at the open.
The cash market reached a low of 23792 this morning.
And the market rallied over a 1000 points today alone!

Rational valuation?
I think not!

I have shown a possible ongoing three wave pattern off the low as the preferred count.
The likely targets are between 25234 - the 50% retracement.
And 25507 - the previous 4th wave.

If the price reaches into these levels and reverses lower again,
Then we will have a valid bearish elliott wave signal on our hands.

Tomorrow;
Watch for wave 'c' to continue into 25234 to complete.

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