Daily & Intra-month Trends Confirm Pullback Low. Stocks Re-Enter 1 – 2 Month Uptrends & Could Rally into Mid-Feb. Next Cycle Low = Feb. 26 – 28.
Daily & Intra-month Trends Confirm Pullback Low. Stocks Re-Enter 1 – 2 Month Uptrends & Could Rally into Mid-Feb. Next Cycle Low = Feb. 26 – 28.
02/12/19 INSIIDE Track Update – “Stock Indices signaled a 1 – 2 week peak on Feb. 6 and then sold off into Feb. 11. That was expected to lead to Feb. 12, when daily cycles would again (briefly) turn back up. In the process, they spiked to new intra-month lows but could not turn their intra-month trends down, leaving them in positive territory.
On Feb. 8, the DJIA & NQH produced the second neutral signals against their prevailing daily uptrends… That, too, set up the potential for some additional downside on Feb. 11 and then a reversal higher on Feb. 12, along with daily cycles. The action of the past two days has corroborated that…
Equities rallied sharply today, mounting another attack on their 1 – 2 month extreme upside targets at 25,324 – 25,462/DJIA, 2755 – 2765/ESH & 7104 – 7173/NQH. The weekly resistance levels (reprinted above) again corroborate these targets with daily LHRs and related indicators aligning in close proximity to these targets. So, another 1 – 2 week peak could soon take hold.
The potential for that would increase if the DJIA & Nasdaq 100 fail to close above 25,427/DJIA & 7034/NQH tomorrow. [In contrast, if those indices produced daily closes above those levels, it would turn the intra-month trends up and project a little more upside into mid-month.]
The Indexes remain in intermediate uptrends with the potential for higher highs stretching into April or May 2019. In the interim, another low is still likely around Feb. 26 – 28 – the latest phase of a ~60-degree/~2-month high (Aug. 29) – low (Oct. 26) – low (Dec. 26) – low (Feb. 26 – 28) Cycle Progression that has timed each of the primary intermediate turning points in the Nasdaq 100.
Prior to its late-Aug. high, the NQ-100 also had preceding lows on June 27 & April 25 – perpetuating this ~2-month cycle.
Stock indexes remain positive and would not turn their intra-month trends down until daily closes below 24,977/DJIA, 2695.5/ESH & 6858/NQH.”
Stocks completed initial pullbacks without turning the daily trends or intra-month trends down. Price action is always the key! That leaves them in positive territory as daily cycles again turned positive (on Feb. 12). This could spur rally into Feb. 14/15 if intra-month trends turn up. Subsequent low is expected on Feb. 26 – 28. Nasdaq 100 remains pivotal index with focus on 1 – 2 month upside target (from the Dec. 26 low) at 7104 – 7173/NQH.
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.