Stock Market Sell-off Phase III; New Sell-off Unfolding; FB, NFLX, TSLA Lead Decline.
02/12/22 Weekly Re-Lay – “Stock indices have sold off after bottoming on Jan 24 – 28 and rebounding into early-Feb – when daily cycles and daily/weekly trend indicators projected a secondary high. They have since turned their intra-month trends down… Equities are adhering to the 2-Year Cycle that projected a January sell-off after cycles peaked in early-Jan ’22…
Stock Indices are reinforcing congestion with competing/contrasting daily and/or weekly trends and daily 21 MAC structures.
For the most part (except for a few isolated stocks), they remain above their late-Jan lows after fulfilling expectations for an intermediate low and reversal higher on Jan 24 – 28. That quickly led to the projected bounce into the first 2 – 3 days of February, when a secondary high was forecast.
That was precisely fulfilled with the indexes rallying into Feb 2/3 and initially peaking – with some of those indexes and several key ‘proxy’ stocks (FB, INTC, NFLX, TSLA, etc.) signaling a subsequent drop to new (divergent) lows was likely to follow.
Corroborating that, the daily trend in the NQ-100 (and other indexes like the DJTA) could not turn up during those rallies into Feb 3 – leaving open the potential for a drop back to their Jan 24 lows as part of the subsequent sell-off. That has been reinforced by the intra-month trends turning down…
The daily trends in the DJIA, S+P 500 (and 400), and Russell 2000 corroborate that – turning from up to neutral on the Jan 11 close. Since they need to generate two neutral signals before they could reverse down (on any subsequent day), the earliest those trends could turn down would be Feb 15…”
Stocks are fulfilling the outlook for a decisive peak in early-Jan ’22 followed by a 2 – 3 month plunge into Feb/Mar ’22 before a multi-month low becomes more likely.
That is unfolding at the same time Gold has been forecast to see an accelerated advance into late-Feb/early-March – portending more trouble on the horizon during the month of Feb ‘22. Geopolitical tensions are beginning to validate what has been projected since Oct/Nov ’21.
The NQ-100, Russell 2000 & DJTA reached multi-month upside targets in Nov ’21 and signaled a wave ‘5’ peak on various levels – signaling that those highs could hold for many months (or longer) and trigger the largest declines since March ‘20. That warned of trouble at the same time metals were projecting strong 3 – 6 month surges after bottoming in late-Sept ’21.
How Does This Impact 10, 20 & 40-Year Stock Cycles Colliding in 2022?
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