Stock Market Danger Period Resumes

Stock Market Danger Period Resumes;
Oct. 26th Ushers in New Down Phase!
Sharp ~2-Week Drop Projected.

10/26/16 Weekly Re-Lay Alert: 

Stock Indices have spent almost two weeks trying to recoup the losses of the three days following October 7th, when Danger Period #2 kicked in.  While the Nasdaq 100 was able to achieve that, the DJIA & S+P 500 have not even come close.

As a result, the ESZ, SPX, OEX & SPY (ETF) find themselves in suddenly-familiar territory – with the potential to complete a 4th outside-week/2 Close Reversal lower.  If that is to be the case, they need to drop into Friday and take out last week’s lows…

More & more, this resembles July/Aug. 2015 (the second phase of the mid-2015 decline following the last time the 32–33 Week & 66-Week Cycleconverged) – when 75% of the overall, 3–4 month decline occurred during the final 1–2 weeks (analogous period is right after Nov. 8th Election)… and 90+% of the drop took place more than two months after the peak.

1–3 month & 3–6 month traders & investors should have sold Stock Indices on Aug. 29–Sept. 7th (~18,400–18,550/DJIA & ~2161–2182/ESZ) and be holding these shorts.  Risk/exit [reserved for subscribers only].”  TRADING INVOLVES SUBSTANTIAL RISK!

Stock Indices are steading increasing the potential for a sharp decline from Oct. 7th into late-Nov. 2016… and on a near-term basis from Oct. 26th into Nov. 11th.  Multiple indicators reinforce that this should accelerate in early-Nov.  Key downside targets could be reached in 1–2 weeks.  See Weekly Re-Lay for details.

Also, see 40-Year Cycle Reports for details on outlook from late-2016 into 2017 (and beyond).