This may be a good time to start believing in market cycles

David Frost // Market Outlook

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May 26  

Sometimes I feel like paying admission to listen to the pundits discuss all the reason for the market decline, the economic statistics that will cause a recession, the reasons why higher interest rates are both good and bad for the market, and so on.

Just one trading day ago we discussed three different cycles that were converging.

Was it the stock market cycles that caused the market to change characteristics, or was it the news items?  In the end, we really don’t care.  We only care about interpreting the charts so we’re positioned to make money.  All the other stuff is nonsense.

The burning question is how much more selling?  Are there lower prices ahead or was this all they’re able to muster, again.

In tonight’s video we’ll talk it through and begin to create a road map for when the next low is coming, and at about what price.

Gold was slightly down over night, then early this morning got hit over the head with another down leg.  We’ll review this market and see if there’s going to be a resumption of the rally or lower prices ahead.

Oil was down primarily in concert with the wide based selling we saw in almost everything today.  A good excuse would be a stronger dollar.

Bonds and the dollar took of faster than a Tesla today.  What happens from here?  Was this an exhaustion move or broad based rally?  In tonight’s analysis, we’ll review the details and see if we can put together a trade in the near term.  Hint:  I know where the dollar will run into big resistance.

To get the full common sense market analysis, please click the button below and you’ll be taken there.

About the Author

Trading and investing in markets is second nature to some, but a mystery to others. The goal is to provide a forum where everyday people aspiring to be part time or full time traders will learn how view markets differently and profit beyond their wildest dreams.

David Frost