Saturday, June 7, 2014

CHARTS OF THE DAY

Stocks may be entering a final bubble phase over the next 1-3 weeks if they don't start a hard correction on Monday.





6 comments:

  1. Is there any specific technical reason for a sharp correction starting on Monday/this week?

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  2. It needs to start Monday because it's very late in the daily cycle. If it doesn't then the odds go up that this is something different and maybe the bubble phase has begun. If that's the case then the daily cycle could stretch way beyond the normal timing band.

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    Replies
    1. Thanks Gary.

      So I suppose a question that we should ask ourselves now is, if a bubble phase is indeed starting here, does an investor step back aboard for X weeks or continue to stand on the sidelines and watch and wait?

      I heard you mention on Thursday or Friday that this equity market is for day trading only but does that change in a bubble mania phase?

      I suppose that the problem with such mania phases is that no one knows how long it could last.

      Perhaps you could talk about that on the next broadcast?

      Personally, the sooner these markets correct the happier I will be so will keep my fingers crossed for Monday.

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    2. Because it's very hard to predict when a bubble is about to pop I advise day trading only if one is going to continue to play the stock market.

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  3. Props Gary.......fan of your technical charting and analyzing! BTW the pros at Elliot Wave Theory concur your very thoughts as they see the DJIA encountering a FINAL surge that should be turning over where the market has just eclipsed the trendline tops of 2000 to 2008 to NOW! Cheers.

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