Loading ...Running and/or expanded flats
I have read quite a few articles from Tom McClellan, who has a knack for identifying chart patterns. He notes that similar chart patterns occur in different indices/tickers/commodities. And he also observes that these patterns show a time lag (or lead).
I have always wondered the running flat correction in gold which Ron Rosen used to talk about. He maintained that the move to $1920 was a correction. And that the earlier top, $1030 in 2008, was the real high. Imagine a 37 year old buffoon like me trying to understand it at the time.
Nevertheless, having looked at many tech names, I’m thinking about the real high in S&P. Did we get nominal new highs (albeit much higher than the previous high) in a running or expanded flat correction in S&P too? And Nasdaq as well? The Elliot wave experts may chime in.
https://x.com/GoldTAnalysis/status/1811800063703679484/photo/1
GL
“Did we get nominal new highs (albeit much higher than the previous high) in a running or expanded flat correction in S&P too?”
There is no shortage of EW gurus looking for THE top as a B wave high. (a mid point within a huge correction of sorts, TA wise)
Whether its sports, military campaigns, or markets, deception is the name of the game. So when you see a break out, and think Blue Skies, you might want to be more circumspect. NOTHING is quite what it seems anymore.
“NOTHING is quite what it seems anymore.”
In other words, if a rate cut does occur, it might be the MOAT sell signal for the S&P, the Nasdaq etc.
I can see non-confirmations all over the place: e.g. NVDA. Topped in the week of June 20th 2024. MACD rolled over. MACD histogram screaming for correction. RSI non-confirmation. Seems like next leg down in RSI is about to start.
Is the top-ringing bell not deafeningly loud already?
GL
“In other words, if a rate cut does occur, it might be the MOAT sell signal for the S&P, the Nasdaq etc.” Just go back to most FED rate cutting cycles. In the majority of them, when the FED started to cut rates, that marked the beginning of bear markets or at least major corrections.
Correct, Sir CM.
The emphasis was on MOAT, as valuations have never been this high ever!
GL