Feb 11, 2016 11:05 PM
(This post was last modified: Feb 11, 2016 11:12 PM by Ξthereal.)
No doubt its been a shaky year for markets in 2016 so far.
I can't help but feel like a lot of what has been happening in the market lately has been hyped up and that while many are lead to believe that the apocalyptic crash of the markets is finally here.
I am wondering to begin if we really are or if this is all just noise as part of a larger plan to be able to absorb liquidity and bring the stock market even higher.
I'll begin with an interesting chart showing the year as it's been:
[img]http://s24.postimg.org/4oteacolh/image.png[/img]
Its's only until only very recently that I've began to be able to see a possible bottom in sight. George Soros has said many times that a true bottom has never put in until its been tested.
For now its all about the reaction from this point. As I see it, 1805 looks to be the baseline of support where longs are potentially being accumulated with an upside target within the years range of 1930.
While things remain uncertain it is possible that we will maintain this range until the next trigger event presents itself.
Something I am wondering is if that next trigger could be added ECB stimulus.
We are already seeing it in Europe, Japan and now even talk of potential negative rates are reaching the U.S.
No doubt the 1800 level is very important and being observed by a lot of players.
[img]http://s12.postimg.org/4r0qfk931/image.png[/img]
It is interesting to note if we take 2130 as most recent high down to 1800 we have a 15.5% correction which is not by any means the beginning of a bear market, which is what everybody is spreading panic about (at least trying to).
The central banks and other financial institutions always like to look at things from a birds eye view, and they have the funds to be able to trade the markets on a much longer and larger scale, both in size and in time.
I personally believe if we don't significantly have a break of 1800 that this could be a great chance to get back on board the bull market as I think we will have to get to negative interest rates before we have the really big one everybody is talking about.
The central banks do still have room to move here and it's something being enforced by the ECB and the BOJ this far, just a cautious take to anybody out there selling into all the headlines and going short hoping for the best at these fresh lows.
Nobody knows, but it is a possible scenario that we could bounce back from here as we are at a very key level.
I can't help but feel like a lot of what has been happening in the market lately has been hyped up and that while many are lead to believe that the apocalyptic crash of the markets is finally here.
I am wondering to begin if we really are or if this is all just noise as part of a larger plan to be able to absorb liquidity and bring the stock market even higher.
I'll begin with an interesting chart showing the year as it's been:
[img]http://s24.postimg.org/4oteacolh/image.png[/img]
Its's only until only very recently that I've began to be able to see a possible bottom in sight. George Soros has said many times that a true bottom has never put in until its been tested.
For now its all about the reaction from this point. As I see it, 1805 looks to be the baseline of support where longs are potentially being accumulated with an upside target within the years range of 1930.
While things remain uncertain it is possible that we will maintain this range until the next trigger event presents itself.
Something I am wondering is if that next trigger could be added ECB stimulus.
We are already seeing it in Europe, Japan and now even talk of potential negative rates are reaching the U.S.
No doubt the 1800 level is very important and being observed by a lot of players.
[img]http://s12.postimg.org/4r0qfk931/image.png[/img]
It is interesting to note if we take 2130 as most recent high down to 1800 we have a 15.5% correction which is not by any means the beginning of a bear market, which is what everybody is spreading panic about (at least trying to).
The central banks and other financial institutions always like to look at things from a birds eye view, and they have the funds to be able to trade the markets on a much longer and larger scale, both in size and in time.
I personally believe if we don't significantly have a break of 1800 that this could be a great chance to get back on board the bull market as I think we will have to get to negative interest rates before we have the really big one everybody is talking about.
The central banks do still have room to move here and it's something being enforced by the ECB and the BOJ this far, just a cautious take to anybody out there selling into all the headlines and going short hoping for the best at these fresh lows.
Nobody knows, but it is a possible scenario that we could bounce back from here as we are at a very key level.
