SPX 2350 target reached, what’s next?

In August last year we already shared a very simple symmetry breakout target for the S&P500 of SPX2350, based on its long term chart, see here, and we’ve had this chart available to our premium members for even longer. This week the S&P500 reached that target, see below. Mission accomplished? Can we now sit and…

What does the SPY-TLT ratio tell us?

The ratio between the SPY and the 20+ years treasury bonds ETF -TLT- can foretell of pending larger market corrections as it did in 2007, 2011, and 2015. Namely, what we can observe in those cases is that the ratio of SPY and TLT (SPY:TLT) was negatively diverging from the S&P500 ($SPX) on a large…

NASDAQ Elliot Wave Update

Please find below our preferred Elliot wave count for the NASDAQ (aka $COMPQ). We prefer this index to be minute iii of minor 3 of intermediate iii of major 3 of Primary V. That’s a lot of three’s 😉 but the Fib-extensions for each wave degree overlap rather well. For example; the 200% extension of…

Russell 2000 in larger correction?

Yesterday we posted our preferred count, which tracked the market remarkable well until… well… today (we shouldn’t have posted it ;- ) ). Since we always let price dictate our POV we are therefore forced to change our count -by admitting one is wrong one can start being right- and today we take a look…

Is a VIX below 11 bearish for the market?

Many market pundits have pointed out the low VIX over the past weeks, with the last three days even below 11, as a reason of a pending (large) market correction because traders and investors are supposedly “complacent”, and “without fear”. But, is that the correct assessment? We think it is not. Why? The VIX is…