Stocks Remain Strong; Will Likely Set Divergent Highs on ~November 25th
11/13/24 – Crypto Correlation: Coincidence or Causality? II – “On October 16, 2024 the Weekly Re-Lay Alert titled: Crypto Correlation: Coincidence or Causality? followed up on the October 3rd issue of The Bridge and reiterated the outlook for a projected Bitcoin surge into November ’24, which was likely to accompany a similar advance in the Russell 2000 & S+P Midcap 400. It explained:
10-16-24 – “The October 3, 2024 issue of The Bridge focused on Currency War cycles and the potential for Bitcoin to see an October surge into a November ’24 high… At the same time, stock indexes were projecting a similar October surge with small and mid-cap indexes expected to lead the way.
The action of Bitcoin is often correlated to the action of the Russell 2000 and this was/is another instance where their respective outlooks and resulting action have moved in close lockstep with one another. Whether that is coincidence or causality – or a little of both – matters little…
Stock Indices remain positive with the DJTA, Russell 2000 & S+P Midcap 400 validating analysis for them to lead the latest advance… greatest synergy of monthly & weekly cycles converging in late-November ’24.
Similar to what occurred in June/July 2024, this could be showing that another push into smaller & mid-sized stocks is unfolding. Interestingly, the S+P Midcap has its greatest synergy of monthly & weekly cycles converging in late-November ’24… the ultimate IDX peak waiting until late-Nov ’24.
Meanwhile, the NQ-100 maintains wave targets near the July ’24 peak – around 21,200/NQZ…
Bitcoin & Ether are reinforcing intermediate bottoming signals with Bitcoin turning its intra-month trend up. That increases the likelihood for rallies into November 2024 – the next phase of the ~8-month (& midpoint of the ~16-month) Cycle Progressions that timed the March ’24 top.”
— 10-16-24 WR Alert
This connection/correlation has been powerfully validated and is creating a situation that feels like déjà vu… from November 2021.
Not surprisingly, the Russell 2000 is exactly where it was – and where it peaked – in Nov 2021… at ~2460/QR. So, too, is the related ETF – IWM – briefly spiking above 240/IWM as it did in November ’21…
At the same time, Bitcoin fulfilled its primary upside wave targets while attacking weekly & monthly LHR objectives…
Coincidence?
Causality?
Combination?
What are other equity indexes showing?
Stock Indices are fulfilling the outlook for a November rally, led by the S+P Midcap 400. That rally was forecast to last into November 18 – 25th, when the greatest synergy of weekly cycles converges in that index…
A high at this time would fulfill an ~8-month high-high-high-(high) & ~12.5-month low-low-low-(high) Cycle Progression. It would also fulfill a 17 – 18-week high-high-(high) & ~5-week low-low-high-(high) Cycle Progression
The NQ-100 has been lagging (relatively speaking) and has only been able to retest its July peak while fulfilling the 1 – 2 month outlook for a rally back to ~21,200/NQZ…
With all of these indexes reaching multi-month upside targets (or extreme targets), a peak could take hold at any time and fulfill the multi-month and multi-year cycles previously described. It is also possible the indexes provide another ‘rerun’ – creating a divergent pair of highs on Nov 11/12th & Nov 22/25th.
The first sign of a reversal lower would be daily closes below the November 7th lows. Until that occurs, the trends remain up and could still spur additional spike highs.” TRADING INVOLVES SUBSTANTIAL RISK
Stock Indexes surged into Nov 11/12th and set initial highs. A set of subsequent (divergent?) highs are expected during the greatest synergy of diverse cycles on ~November 25th. The 17-Year Cycle also remains focused on 4Q 2024 as the most likely time for a major peak in equities
The S+P Midcap 400 remains the leader in this move and was projected – in early-October – to lead an overall surge into late-November ’24 – when a more significant peak is a higher probability (though price action would need to validate).
Stocks Positive into October 17/18th, Then Late-November; S+P 400 to Lead Way Higher
November 22/25th is the greatest synergy of cycles but key indicators will need to clarify if/when a late-November top is forming.
How High Could November Surge Reach?
Why is S+P Midcap 400 Leading Projected Surge into Late-November?
Is Russell 2000 Range Target Revealing Additional Clues?
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.