Stocks Attack 20% Decline Threshold

Stocks Attack 20% Decline Threshold; 
August 24th Drop Reaches Extremes…
DJTA & Shanghai Composite Fulfill Targets. 

08/26/15 Weekly Re-Lay Alert: Danger Period Confirmed; 20% DJTA Drop Fulfilled: “Monday’s 1,000+ point DJIA drop – and corresponding Dollar plummet/Euro, Yen & Gold surge – powerfully reinforced or fulfilled multiple expectations & analysis, including:

1 – Projection for overall bearish period in Stock Indices – between late-April & late-Sept. 2015 – during which the Indices were expected to lose ~20% in value.  The DJ Transports – which peaked in late-Nov. 2014 and have led this entire decline – attacked the 20% threshold on Aug. 24th.

2 – Danger Period from ~Aug. 18th into Sept. 18th

3 – Sharp Drop in Dollar/Rise in Euro from early-Aug

4 – Strong Rebound in Gold from late-July into mid-Sept.

5 – China’s Shanghai Composite attacked ~3,000, its 2–3 month downside target and the level of a ~40% decline (just since June 12, 2015).  At the same time, the Hang Seng Index – which peaked in late-April – saw its intra-year losses hit ~27% as it dropped to new 2-year lows.

That action created some important corroborating signals, including the DJIA dropping below year-opening lows and spiking below mid-Oct. 2014 lows.  However, it also showed signs of many markets reaching an extreme…

Stock Indices have repeatedly & consistently corroborated the outlook for 2015… and the potential for a ~20% decline between late-April–late-Sept. – mimicking a pattern that has been seen at 17-Year intervals, as well as in several intervening years.

After entering the Danger Period – on Aug. 18th/19th – the Indices plummeted into Monday (Aug. 24th) and right to their weekly extreme downside targets (HLSlevels).

A perfect example is in the S+P 500:  1832.75/ESU was weekly HLS1831.0/ESU was 8/24/15 spike low.  It also tested & held its daily HLS on Aug. 24th.  (The DJIA did the same thing for 3 days straight.)…

All of these Indices also dropped to new intra-year lows, confirming that (at least) a 3–6 month peak is intact…the Indices showed signs of reaching an extreme on Aug. 24th.”

Stock Indices Reach Extreme Downside Levels; DJ Transports & Shanghai Composite Attack 2015 Downside Objectives.  Initial Low Likely.