Stocks Bounce to Resistance; Poised for New Plunge (into Late-March ’20)!
03/03/20 INSIIDE Track Stock Index Update: “Stock Indexes shot up to monthly resistance and immediately reversed lower on the heels of the latest Fed interest rate cut. In doing so, the primary indexes also rebounded 50% of their recent plunge and peaked right near those levels. As a result, they remain negative and would not turn neutral until daily closes above 26,800/DJIA, 3121/ESH & 8925/NQH.
The new intra-month trend should be the next revealing feature for the 1 – 2 week outlook. It would take daily closes outside of (above or below) the ranges of March 2 – 4 to trigger an initial intra-month trend for March. Since that is not possible until the close of trading on March 5, the next two days could be pivotal. Until that range is established, the Feb. 28 lows are key near-term support and today’s highs are near-term resistance.”
Stocks plummet in lockstep with 2-Year Cycle & over-arching 40-Year Cycles as well as weekly Cycle Progression in Transports & Industrials & ominous 4-Shadow Signal triggered in late-Jan/early-Feb. Perfect Storm of sell signals – triggered on Feb. 7 – 14 – signals ‘significant top’, ‘start of a much larger process’, ‘majority of sell-off to follow’, significantly negative impact on overall market’, leading to ‘intra-year trends down, which would have a longer-reaching impact on the overall equity market’.
These damaging signals reinforce the 40-Year Cycle and 2-Year Cycle outlook for another plunge into late-March 2020 after a brief bounce. Monthly resistance (potential peak for March ’20) attacked.
What Would March ’20 Stock Market Plunge Mean for 2020 – 2022?
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.