2007 pattern being repeated right now? Another “Push Away???”

NYSE repeating 2007 pattern potential push away june 24

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The NYSE index kissed the underside of dual resistance at (1) back in 2008. Once resistance held, a big push away from it took place and sellers stepped forward.

NYSE creating a similar pattern again at (2)???

This would NOT be a good place for the Risk On trade if the broad market starts “pushing away” from dual resistance at (2).

Full Disclosure- Premium Members are double short the Nasdaq 100

 

Panic drives leading indicator to critical support, says Joe Friday

joe friday pic

Global Leadership is facing an important test of support today!

The German stock market (DAX) has led the broad markets in the states, to the up and downside the past couple of years. Below looks at the pattern in the DAX, including the wild action overnight.

Joe Friday DAX resistance support in a week june 24

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This¬†important stock index¬†yesterday closed at falling resistance (1) yesterday. One day later, the DAX is testing rising support at (2). We humbly remain of the opinion that portfolio construction will be greatly impacted by what the DAX does at 6-year rising support. If support does not hold, the “Risk On” trade could be in big trouble.

Joe Friday shared two weeks ago today, that the Nasdaq 100 could be creating a “Head & Shoulders” topping pattern.

joefriday ndx at right shoulder june 10

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This chart reflects that tech stocks could be creating an important “topping pattern” (head & shoulders pattern) just below the highs that took place back in 2000. If the NDX would break the neckline of this topping pattern, tech stocks could see a good deal of selling come forward.

Just the Facts; Selling overnight has driven the DAX down to 6-year rising support. At this time, support is support until broken.

If 6-year support gives way, the world should see selling pressure we haven’t seen since 2007. Full Disclosure- Premium Members came into today, with a double short position in the Nasdaq 100.

Full Disclosure- Premium Members are double short the Nasdaq 100 at this time, due to the potential Head & Shoulders topping pattern and NOTHING to do with the Brexit vote!

 

Brexit and Y2K have this in common?

y2k brexit pic

The media has had a hay day for months, over the “Brexit” vote in Europe. They have done a great job of concerning people in Europe and around the world. Could Brexit and Y2K both end up scaring people/investors, yet it end up being not too big of an event?

The Power of the Pattern in London, might be suggesting that conditions look to be bullish for London and maybe rest of the worlds stock markets. Below looks at the pattern of the FTSE in London.

ftse forming bullish inverse head and shoulders june 23

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The FTSE 100 Index (London) has been weaker than the S&P 500 over the past year.

Over the past few months, the FTSE could be forming a bullish reversal pattern, inverse head & shoulders pattern, just above 6-year rising channel support line (A).

If this pattern read is correct and the FTSE would happen to breakout above the neckline at (1), the price action would suggest “Risk On” in London and maybe other key European markets. For the pattern to be bullish for London, its a must that resistance gets taken out!

Does Brexit and Y2K have something in common, too much fear? If an upside breakout takes place at (1), a ton of fear could be unwound.

Europe should be concerned not about Brexit, they should be concerned should rising support line (A) get taken out. If that would happen, it would reflect that the current 6-year trend of higher lows and higher highs, would be broken.