Technicals: We are looking for a higher low above 2905, it will likely be at the trend line so about 2970 should be an objective buying opportunity. After we form the higher low, we will be searching for a higher high above 3066, it will likely be at 78.6 fibonacci retracement near 3136. It is too early to say conclusively where the market will go after 3136. After the false breakdown we were starting to look at the possibility of another March-like sell-off. KEEP IN MIND, I should have said this back then but you can't have a March-like sell-off on low volume or decline volume. As long as volume stays low in this environment look for stocks to move higher.
Fundamentals: Oil up stock market positive. Watch 10 year look for breakout above 0.70. Trade tensions and protests could pull market down a bit. The worst economy ever doesn't matter when you have the fed buying everything. Keep in mind we are still likely in a long-term bear market asset prices are in a huge bubble this market is the second most overvalued historically (in term of earnings). But it doesn't have to go down any time soon. Also keep in mind long term the fed has stepped it up in terms of stimulus but they also stepped it up in 08 and 00 bear markets with stimulus and it caused bear market rallies. I definitely would not hold long term positions in this bubble, look at metals Gold, Silver, Gdx for long term buys.
I may start doing videos on here instead of typing all this stuff out.
Fundamentals: Oil up stock market positive. Watch 10 year look for breakout above 0.70. Trade tensions and protests could pull market down a bit. The worst economy ever doesn't matter when you have the fed buying everything. Keep in mind we are still likely in a long-term bear market asset prices are in a huge bubble this market is the second most overvalued historically (in term of earnings). But it doesn't have to go down any time soon. Also keep in mind long term the fed has stepped it up in terms of stimulus but they also stepped it up in 08 and 00 bear markets with stimulus and it caused bear market rallies. I definitely would not hold long term positions in this bubble, look at metals Gold, Silver, Gdx for long term buys.
I may start doing videos on here instead of typing all this stuff out.
