NQ-100 Holds Support; Poised for New Advance as Major Bottom Forms. What About DJIA?
03/24/20 INSIIDE Track Stock Index Update: “Stock Indexes continue to show signs of bottoming… after repeatedly attacking their monthly HLS levels – the extreme downside targets for March ’20. March 23 was the 2-year anniversary of the 2018 DJIA low (close) and could have timed something similar.
This week (March 23 – 27) is also the 40-year anniversary of the late-March 1980 low – the focus and objective for the 40-Year Cycle signal from Feb. 12/13.
The low on March 23 also fulfilled a 31 – 34 day high-high-high-(low) Cycle Progression in the leading DJ Transportation Average and projected a sharp rebound to follow. This is reinforced by the Transports retesting their 1 – 2 year downside target (triggered in Oct. ’18) at ~6,500/DJTA.
From a cycle perspective, the indexes have now fulfilled the timing aspect of the 2-Year Cycle & 40-Year Cycle patterns. Both of these cycles projected sharp sell-offs from mid-Feb. ’20 (40YC projected Feb. 12/13 peak while 2YC focused on Feb. 13 – 17) into late-March (March 23 – 27) ’20.
Leading the way to the upside are tech stocks with the Nasdaq 100 continuing to hold the levels of its March 13/16 lows – reinforcing that a multi-week bottom is forming. (The lows of the past week have continued to hold the June ’19 lows as well – the point at which the most recent ~8-month advance began.)
Many individual stocks bottomed last week – in sync with corresponding daily cycles – and already confirmed 1 – 2 week (or longer) lows, with proxies like AMZN & NFLX confirming 1 – 2 week reversals higher on March 18/19 and validating the March 17 – 18 buy signal.
As described last week, the indexes should see sharp rallies… with initial upside targets coming into play at 24,680 – 25,000/DJIA, 2850 – 2910/ESM & 8300 – 8500/NQM…
As described last week (March 16 – 18), the convergence of all these factors provided the first time since the peak when enough cycles and indicators were arguing for a sizeable bounce and were worth heeding – justifying taking an initial stab at re-establishing some long positions in the market.
As a result, equity investors could have re-entered the market on March 17 – 19 and can now risk a daily close below the March 16 – 23 lows (whatever the low is in a particular index or equity)… [see current publications for ongoing analysis & new trading strategy updates]”
Tech stocks projecting major rallies! Stocks fulfill Stock Panic Cycles (projected for early-2020, in March 2019) as well as 40-Year Cycle and 2-Year Cycle projecting plunge into March 23 – 27, 2020 – the precise time the DJIA bottomed in 2018 AND 1980. Transports reach downside target (6,500) as NFLX & AMZN trigger decisive buy signals. Major indexes also trigger buy signals for multi-month rallies.
NQ-100 Could Surge to New Highs After Holding June ’19 Lows.
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.