STOCKS AND INDEXES BREAKING BELOW SHORT TERM SUPPORT LEVELS

The following stocks and indexes are breaking below June lows and forming the old HEAD AND SHOLDRES TOPPING FORMATION: DJI,S&P, FTSE,DJT,RUT WFC, JPM. Expect more rebounds. However if April lows are broken, abandon all hope.

The following indexes are pointing the way down and have gone stright down all year; HSI and other China indexes FXI and  DSM. Then there are the Banks all in free fall DB, HSI, CS, JPM, BNP. and EEM EMERGING MARKETS,

Goldman Sacks is now calling for GDP growth below 2% in 2019. How will get out of a recession? Stimulate the economy: Reduce intrest rates? No, theyare already low. How about a tax cut? No, just did that. How about the Fed buying bonds? No, the already have $4.5 trillion. We are out of bullets!

DOW INDUSTRIAL AVERAGE  FUTURE  LONG TERM SUPPORT ZONES

Fibonacci projections made 2011 in the Investment Handbook for Volatile Markets THESE NOW BECOME SUPPORT ZONES

 

Resistance and future support Resistance and future support Resistance and  future support Resistance and future  support  

Resistance
14,198 14,198 14,198 14,198 14,198
-6,470 -6,470 -6,470 -6,470 -6,470
7,728 7,728 7,728 7,728 7,728
X138.2% X150% X161.8% X 100% X 61.8%
2,752 3,864 4,776 7,728 12,503
14,198 14,198 14,198 14,198 14,198
17,150 18,062 18,974 21,926 26,701

S&P 500 INDEX

DOWNSIDE SUPPORT ZONES

1st Resistanc and Future Support Zones 2nd  3rd  4th  5th 
1,576 1,576 1,576 1,576 1,576
-666 -666 -666 -666 -666
=910 910 910 910 910
X38.2% X50% X61.8% X 100% X1 61.8%
126 455 562 910 1,472
+1,576 1,576 1,576 1,576 1,576
=1,702 2,031 2,132 2,486 3,044

 

Should the S&P break above its old 2000 and 2007 double top of 1,576 the upside potential would be a Fibonacci Resistance points of 1,702, 2,031, 2,132, 2,486 3,044 and AN EXTREEM HIGH OF 8,000. As with the Dow, this would indicate a new series of Bull Market could be beginning. It would also mean that we have somehow solved our economic and environmental problems. Now that I think about it, this seems a more unlikely scenario than the Bearish Downside scenario. However, what will be, it is not for the future for be to see, but obey.

NASDAQ COMPOSITE INDEX

DOWNSIDE SUPPORT ZONES

1st Resistance 2nd Resistance 3rd Resistance 4th Resistance 5th Resistance
2,861 2,861 2,861 2,861 2,861
-1,268 1,268 1,268 1,268 1,268
=1,593 1,593 1,593 1,593 1,593
X38.2% X50% X61.8% X 100% X1 61.8%
608 797 984 1,593 2,577
+2,861 2,861 2,861 2,861 2,861
=3,469 3,658 3,845 4,454

EXTREEM HIGH 8,000

ADDITIONAL INFORMATION IS AVAILABLE UPON REQUEST
Carl does not offer investment advice, but merely his own personal opinion. This report has been prepared from original sources and data we believe reliable but make no representations as to the accuracy or completeness. Carl , his affiliates and subsidiaries and/or their officers and employees may from time to time acquire, hold or sell a position in securities. Past performance is no guarantee of future success. Upon request, we will supply additional information. CarlBis@aol.com