Stocks Shifting Focus to Late-August Cycle Lows as Quick Pullback Unfolds.
08-02-25 – “Stock indexes rallied into late-July and peaked in lockstep with diverse cycles & Cycle Progressions, monthly trend indicators & various timing indicators… that have been projecting a multi-month top to take hold in late-July. An initial drop into August 15 – 22nd is expected…
Stock Indices fulfilled the outlook for rallies into late-July when higher highs were most likely in the DJIA, S+P 500 & NQ-100…
The recent highs also fulfilled wave symmetry with the culminating rallies in the latest two advances each lasting 16 weeks. The real key was price action with the DJIA, S+P 500 & NQ-100 fulfilling monthly trend indicators (triggered near early-April low) that projected rallies to new all-time highs.
The DJTA, a weaker index, provided revealing divergence by only rebounding to the level of its flattening monthly 21 High MAC – while retesting its 2025 opening range – and then selling off sharply.
As explained before, a peak in late-July would likely spur a sharp 2 – 3 week decline into late-August ’25 and fulfill a ~19-week high-low-(low; Aug 20 – 24, ’25) Cycle Progression.” TRADING INVOLVES SUBSTANTIAL RISK!
Stock Indexes have surged after reaching major 1 – 2-year downside price targets in early-April ’25 and signaling major lows and the onset of new impulse waves higher. Those lows fulfilled related 17-Year Cycle analysis for 20 – 30+% plunges in 2025 and set what should be 6 – 12 month bottoms in sync with many bullish monthly indicators triggered at that time.
Subsequent cycle lows align in the second half of August ’25 and could trigger a new advance (into late-2025/early-2026??). (If another 16 – 18-week rally begins in late-August, it would mature in late-2025 when more significant cycles peak.) Monthly trend indicators are being reinforced by intra-year trends turning up in multiple indexes… providing another bullish factor into late-2025.
Why Should Stocks Bottom Near August 15 – 22nd?
How Do Recent Highs Reinforce (Future) Late-2025 Cycle Highs?
How High Can Stocks Surge After Fulfilling 17-Year Cycle Plunge in early-2025?
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.