Market Report: Dow Industrials Top in Place?
To answer that question truthfully, it's way too early to confirm the answer to that question. I have posted previously there is still a bullish wave count that suggests a possible move to 14000 before it moves higher and targets 17000 - 19000, but to those traders that are flexible and can trade both sides of the trend there is plenty of $$$ to be made for those that can find the right set ups.
My last few articles have been prepping readers for a potential setup for a large decline, so far it's not disappointed, many members caught a large percentage of the decline, although we were watching a couple of ideas this past week that suggested a rally was due and after 2 attempts we caught the lows last week, so traders made $$$ from the upside as well.
Traders that are flexible and have the right setups are making serious $$$, as the swings we have seen recently are a traders best friend, although you still need to find the right setup.
Anyhow back to the setup in hand.
If you have not been involved on the short side like some members have, then you may have another chance later, but short term this appears to be inside an upwards correction to correct the decline.
From 16523 it appears to be a 5 wave decline, so I suspect we can see a large bounce to correct the decline, a 3 wave bounce that remains under 16523 is a setup to sell, so readers that are interested in looking to sell this market need to wait for the market to set itself up.
Whilst it's never a foregone conclusion that we are going to see more downside, if the market has put some sort of peak, then I still think we at least see a move back to 14000 or lower.
So if the ideas shown sets up, you have a low risk setup to sell, limited risk with a potential target towards 14000.
If the idea is wrong then it's a small loss and live to fight another day, but the key to this idea is to see a 3 wave bounce NOT a strong impulsive move that going crazy to the upside, there is a clear setup we are looking for.
Until next time,
Have a profitable week ahead