Nasdaq has reached unsustainable levels. or rather, at levels that are difficult to sustain. The climb of over a decade at a rate of 36% per year is simply unsustainable, drugged beyond belief! I am expecting a more or less violent correction, but above all, I think the race is over and the start of a few years of falls is over. ONLY the decisive violation of 10000 of EminiNasdaq and 3500 of S&P 500 from further push to the bullish movement but all this will only happen by further doping the market. So the hypothesis and the predictions are for a correction and possible inversion of the "SDT" or the structure of the trend. As you can see from the photo below there are two involutes that outline very well what the market trend has been. By now according to the algorithm we are close to a correction. Being a graph on a monthly scale, therefore updated slowly, the peak that will trigger the correction / reversal is expected in the next few months. As said ONLY above the values given, the bullish operations take further strength, otherwise for me it is only short and the bullish period is over. Moreover, a further rise would lead to what in technical jargon is called "double maximum" which is a strong sales signal. The situation will be monitored.
this is my market analysis derived from my proprietary algorithms.
Financial advice is NOT intended and is not intended to be financial advice. Those who operate on these lines do so by taking 100% operational risk.
The correct text is to be understood as written in Italian. What reported is inferred with "google translator" so there may be translation errors.
They are climbing more and more vertically and this is NOT normal. Are the last few sniffs? Drugged, drugged, drugged! Prepared. Now we travel over 9300 of EminiNasdaq.
Higher and higher, we are now close to 9600, it is NOT normal but that's it! Who want to get to 10,000? It can be and I let them go up waiting for the descent because there will be, because the involutes rarely lie. I look forward to the best moment.
Maybe there we are, they made a high at almost 9800 and a bearish close. Is it the right time?
The TSI revolution gave the signal, this time it has turned short and there is a well-defined operational area. The 9620 to 9740 area is the area where you can put yourself in short position with interesting bearish targets.
Well, today it has stretched fairly low. Now stop tied and see the evolution.
Better than I could have hoped for ..... but the drug has bad effects and this market was stoned !!!
The TSI revolution held the short until around 8300, where it then turned long and re-shorted to 8800. and is currently short.
Regardless of how the TSI revolution is now positioned, the interesting thing is that now the market has defined medium to long-term operating levels exactly. I do not go further because this is not the place but if you are interested in future developments you can contact me by email.
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Well, the operation followed has given and is giving excellent results, but this was NOT the intent to demonstrate the effectiveness of the TSI revolution. Instead, what we wanted to highlight was and is the anomaly present in the market.
Since it is not financial advice, however, I do not want to leave the analysis incomplete so I add some considerations: look at the photos attached below.
Nasdaq is the third time it has created a similar trend structure (SDT). Now you need to create a foothold for the next involute that will delimit the movement of the market. You can clearly see the first movement (green involute), then the second (the white one) and finally this one in progress (the red one). Instead of making a correction, as shown in the photo, the market rose 100%, breaking the double top.
Now you always need a descent to create the foothold that is missing for the future involute. Of course the descent will not last long but it will be a long lasting movement. This is what I expect and that every day I will go to verify that it comes true or not.
If the market repeats itself, it is legitimate to wait for it to go down for the next two years or even more, but more than over time the consideration must be made on the basis of the price. Looking at photo4 relating to the emininasdaq future, which is the contract I draw, it will be normal to expect a correction up to area 6000 but also up to 3500. At present they seem extremely distant and unlikely values, no more and no less as was the 9700 in the 2009 away from where the involute that has governed the price to the present day started. Now this involute is about to be broken and the new support curve still does NOT exist. It will be created precisely when it has made a really important minimum which is NOT this one just made at 8100. If from 8100 we went up and went over 10,000 pts of emininasdaq it will always be a drug-addicted market and waiting for the powerful correction that will 100% come because how world finance is structured will do nothing but achieve it. Well, will this be the moment leading to this correction? I believe so but since I am not a fortune teller and I do not have the magic sphere every day I will check that there are conditions to make this hypothesis come true, It is only an estimate, with all the pros and cons that this may have, but this is trading for ordinary mortals! In any case, operations planned and studied in detail. As you can see in the 4 photos, the involutes applied to financial movements perform very well and incorporate the main movements that last a long time, years in many cases. Then for shorter time trading I rely on my super indicators.
Well, thank you who has read me so far and wish you good trading and the best you could wish for. But always with an eye on others too.