Sunday, February 11, 2018

Week of 2/12/2018 It Ain't Over

It took a little longer than I had hoped but we got there and corrected in a fairly major way. We have found a little support at the 200 day moving average and a couple other uptrending lines. This is not to say the correction is over. There is an area down around 2460-2480 that looks to require a test. If we could do that in the short term like in the next 4 weeks or so there is a potential to get higher by May. I put a couple thoughts on the chart. Enough people have commented on the highest MACD reading we have seen so to think the HIGH is IN is ridiculous in my view. Doesn't fit any way you look at it. A low in February or March is much more likely.

Even if we don't make a higher high this go round a retest of it is due sooner rather than later. You don't have to look at a chart very long to notice a 3 or 4 month top or bottom being made. Look back to 2007 ...high in July, corrected into August only to have a new high in the first week of October. Tht isn't a very long turn around and a lot more crap was hitting the fan back then. I think we are going to make the higher high and correct into October. May 2015 and August 2016 need to be visited.


Weekly Chart


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