https://thegoldandoilguy.com/wp-content/uploads/2019/08/91.png 470 850 admin http://www.thegoldandoilguy.com/wp-content/uploads/2014/11/tgaoglogo.png admin2019-08-05 16:00:032019-08-05 16:00:03Is This The Start Of The Next Bear Market?
Is This The Start Of The Next Bear Market?
Over the past few days, we’ve received hundreds of emails from our followers and members asking if this is the big breakdown that everyone has been expecting in the markets. Yes, we’ve warned that it will likely happen before the end of 2019, but we’ve also been very clear that we believe an August 19, 2019 price peak will setup this move and our recent research suggest the NQ will rally to levels above 8200 before this peak in the US market sets up. So, in order to help our members and followers understand what we believe is actually happening in the markets, we’ve put together this research post to help everyone better prepare for the next few weeks and months. First things first, the foundation of Fibonacci price theory is that price will always attempt to seek out new price highs or new price lows – ALWAYS. Many of the US major indexes have recently established new price highs in early July 2019. Think of this as a fundamental element in price structure when attempting to apply Fibonacci price theory. When any chart establishes a new price high (a high price that is above the previous rotational peak level in price), the trend is established as BULLISH and we would immediately expect, at some future time, that price will rotate lower attempting to validate that new price high or attempt to reach a new price low. At certain times, external news can create “price over-reaction” events within the scope of price volatility. I’m certain many of you have experienced these types of expanded price ranges that turn into a “wash-out” type of wide-range rotations in the markets. The combination of the US Fed and the US/China trade talk failures, as well as the rally in Gold, Silver and the US Dollar, are all acting to create a hyper-active rotation in the markets with larger volatility. We suggest that everyone read these earlier research posts to better understand what is really happening in the markets right now : July 30, 2019: August 19 Market Top Prediction July 31, 2019: US Fed is rattling the global markets – Part II It is our opinion that the US Fed announcement followed immediately by the US/China trade talk failure created a “hyper-active” price rotation event that will likely turn into a short-term buying opportunity. Our Adaptive Dynamic Learning (ADL) predictive modeling system is suggesting the NQ will attempt to target levels above 8200 before the August 19, 2019 peak sets up. Therefore, it is still our belief that the markets are setting up a unique “price anomaly” with this current downside price rotation and that a move higher is in the works before the bigger downside price rotation actually begins. This Daily NQ chart highlights the support level near 7600 that was set up by the June 2019 price rotation. Yes, the price has moved lower into this zone, but we believe this zone will act as a moderate support level and that price will rotate higher early in the week of August 5, 2019. This Weekly NQ chart highlights our Fibonacci price modeling system and shows the “Critical Support” level from the October 2018 highs as well as the Bullish/Bearish trigger levels (the RED/GREEN lines near the right edge of the chart) that constitute confirmed price rotations. At this time, the current BEARISH trigger levels are near 7540 and the NQ is still 140 points above this level.