Just a very quick little update as the european markets rallied on low volume higher monday and therefore US markets catching up.
The US markets and european markets is making a longer term major top in this area ,, you see the confluence of a backtest of neckline + a possible test soon of the trendline from the highs in dow jones. (Red circle) ,, this is the potential target before the major new leg down in markets will start ,, and it will get truly ugly here in 2012, especially later this year.
Overall watch out for this area as they gap up markets higher around here with dow jones to new highs for the last months, but other indexes lagging. (Bearish)
The euro making a bearish backtest ,, SPX futures testing the upper trendline perfect at 1280 ,, many things right now looks "toppy" lets see if this is not another major top on low volume pump as they want people be happy for the first trading day in US 2012.
Do you think the current rally is like Oct 4 last year in reverse? I won't be surprised if Wall St closes in triple digits red today.
ReplyDeleteWho knows ,, I just see this as a major top forming and the bear market should continue very soon here in 2012.
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