August ’19 Stock Plunge XVI: Final (?) 3 – 5 Day Drop Signaled; Intermediate Low Still Likely on Aug. 26 – 28! NYSE Shows Signs of Impending Bottom.
08/21/19 INSIIDE Track Stock Index Update: “Stock Indices remain in the overall ‘Danger Period’ of July – Sept. 2019 – when the latest 10 – 20% decline (in a series of similar declines projected for 2018 – 2022, usually surrounded by equally significant advances) was/is projected…
As part of that, a sharp plunge was forecast in late-July – late-Aug. ‘19 – roughly the center of that overall bearish period forecast (since Jan. ’17) for July – Sept. ’19…
In the case of the NYA, the latest drop was the 5th decline of 3 – 5 trading days (since June 20), always followed by rebounds of 2 – 4 trading days. If that pattern is to continue, the NYA should have set its highest settlement price (for this rebound) today.
That dovetails with other indicators AND a daily Cycle Progression that helped pinpoint the preceding high.
The daily trends (in DJIA, DJTA, NYA, etc.) could not turn up until Aug. 21, at the very earliest. That is often the time when a rebound peak is set and a new reversal lower unfolds. They failed to do that today…
So, short-term cycles are reinforcing the short-term timing indicators – all focused on the current period…
This reinforces what has been emphasized since the drop into Aug. 5/6: Stock Indexes have experienced a normal (moderate) correction but must close below those Aug. 5/6 lows – and also turn their weekly trends down – in order to elevate this to a higher magnitude decline.
As of Aug. 16, all of the primary stock indexes have generated multiple neutral signals against their prevailing weekly uptrends. It would take weekly closes below 25,440/DJIA, 2775/ESU & 7224/NQU to reverse those trends to down…
The NYA turned its weekly 21 MAC down AND closed below it on Aug. 16. As conveyed in the Aug. 17 Weekly Re-Lay, that is a bearish combination that has more of a 2 – 3 month impact than a 2 – 3 week impact since it can – like a weekly trend reversal – time an initial low and reactive bounce. Look for more volatile swings in the weeks ahead.”
Stock markets trigger new 3 – 5 day sell signal on Aug. 21. ~12-Week Cycle Progression in stock indexes focused on Aug. 26 – 28 for next multi-week low. What does this reveal about Sept. – Dec. 2019?? And 2020???
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.