Stocks Signal Potential for Retest of Highs; Mid-to-Late-July = Critical & Decisive Cycle… Aug. ’19 Danger Period Would Soon Follow.
06/22/19 Weekly Re-Lay – “Stock Indices rallied into pivotal cycles… the primary indexes turned their weekly trends back up – creating some uncertainty for July. (Note: The Russell 2K and DJ Transports have not reversed their weekly trends up, leaving some divergence at this cycle peak.)
That does not change expectations for a multi-week sell-off and does not change analysis for a multi-month corrective period from May into Aug./Sept. 2019. Instead, it creates some uncertainty surrounding mid-to-late-July… they could see a rally back to recent highs as part of this overall corrective period.
That needs to be examined closer once the action of the next two weeks unfold and the (expected) sell-off takes hold. While this weekly trend fickleness is not unusual for a corrective period (reinforcing that a wide range of congestion is intact), it does create some challenges for 2 – 4 week analysis.”
Stocks casting shadows ahead to Aug. ‘19 for sharper decline. 40-Year Cycle & 4-Year Cycle project increasing trouble in/around Aug. ‘19… with a Aug. ’15-style sell-off likely! Why is 3Q ’19 so dangerous?
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.