- April 12, 2018
- Posted by: filippo zanotti
- Category: S&P500-stock-strategy
“Meters, metronomes, meridians … Man assumes, by measuring space and time, to overcome them, while they are measuring him.” – Gesualdo Bufalino
AS ALL STOCKS TRADERS CAN SEE, IN THIS WEEK WE HAVE SEEN A FALL OF S&P500; IS THAT THE END OF THE UPTREND?
As you have all noticed, this last period was not favorable for stocks trader and investor, the American market had a sharp decline, something that was not seen for years. Some traders and analysts for some time proclaim the end of this great uptrend that continues since 2009, and the facts seem to give reason to these rumors (which among other things I hear already since 2009 and that only the fortuitous movements in recent days seems to confirm ), is it really time to worry?
IT IS IMPORTANT NOT TO FALL INTO A SERIOUS MISTAKE DUE TO THE EMOTION
We all know that the stakes are high, but we must not make the mistake of throwing ourselves headlong by opening short positions. Yes, is possible that the uptrend ends, but we do not know if this is already the moment or there is possibility of a last strong bullish push. The Wall Street Stock Strategy team is already studying Shares and positions to be opened down at the most opportune moment, but believes that they should be seriously considered only when reaching an important level.
S&P500 AND 2525 POINTS
The Chart in the figure denotes a level of 2525 points, which, in our opinion, is a fundamental level for our strategy. In addition to the patterns we had shown to our customers in the 2018 S&P500 Forecast Bullettin, another important sign of a possible change in trend is the breaking of this level. In our opinion, if this level is broken, there is the real possibility of a reversal of trend and therefore a period in obscurity for the American market, which will last for the next months… years! Sooner or later this fact will have to happen. Signals of important studies indicate that 2018 may be the year in which this can happen (for example the Fibonacci-Benner Study).
Hence, keep calm, and let the market show us what to do.
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