Most Popular
1. It’s a New Macro, the Gold Market Knows It, But Dead Men Walking Do Not (yet)- Gary_Tanashian
2.Stock Market Presidential Election Cycle Seasonal Trend Analysis - Nadeem_Walayat
3. Bitcoin S&P Pattern - Nadeem_Walayat
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
4.U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - Raymond_Matison
5. How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - Nadeem_Walayat
7.Bitcoin Gravy Train Trend Forecast 2024 - - Nadeem_Walayat
8.The Bond Trade and Interest Rates - Nadeem_Walayat
9.It’s Easy to Scream Stocks Bubble! - Stephen_McBride
10.Fed’s Next Intertest Rate Move might not align with popular consensus - Richard_Mills
Last 7 days
Micro Strategy Bubble Mania - 10th May 24
Biden's Bureau of Labor Statistics is Cooking Jobs Reports - 10th May 24
Bitcoin Price Swings Analysis - 9th May 24
Could Chinese Gold Be the Straw That Breaks the Dollar's Back? - 9th May 24
The Federal Reserve Is Broke! - 9th May 24
The Elliott Wave Crash Course - 9th May 24
Psychologically Prepared for Bitcoin Bull Market Bubble MANIA Rug Pull Corrections 2024 - 8th May 24
Why You Should Pay Attention to This Time-Tested Stock Market Indicator Now - 8th May 24
Copper: The India Factor - 8th May 24
Gold 2008 and 2022 All Over Again? Stocks, USDX - 8th May 24
Holocaust Survivor States Israel is Like Nazi Germany, The Fourth Reich - 8th May 24
Fourth Reich Invades Rafah Concentration Camp To Kill Palestinian Children - 8th May 24
THE GLOBAL WARMING CLIMATE CHANGE MEGA-TREND IS THE INFLATION MEGA-TREND! - 3rd May 24
Banxe Reviews: Revolutionising Financial Transactions with Innovative Solutions - 3rd May 24
MRNA - The beginning of the end of cancer? - 3rd May 24
The Future of Gaming: What's Coming Next? - 3rd May 24
What is A Split Capital Investment Trust? - 3rd May 24
AI Tech Stocks Earnings Season Stock Market Correction Opportunities - 29th Apr 24
The Federal Reserve's $34.5 Trillion Problem - 29th Apr 24
Inflation Still Runs Hot, Gold and Silver Prices Stabilize - 29th Apr 24
GOLD, OIL and WHEAT STOCKS - 29th Apr 24
Is Bitcoin Still an Asymmetric Opportunity? - 29th Apr 24
AI Tech Stocks Earnings Season Opportunities - 28th Apr 24
S&P Stock Market Detailed Trend Forecast Into End 2024 - 25th Apr 24
US Presidential Election Year Equity Performance in the Presence of an Inverted Yield Curve- 25th Apr 24
Stock Market "Bullish Buzz" Reaches Highest Level in 53 Years - 25th Apr 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Markets Ignore FED Rate Cut: SPX Could Break 2600 with Force

Stock-Markets / Stock Markets 2020 Mar 07, 2020 - 07:31 PM GMT

By: Mehabe

Stock-Markets

Dow Jones closes down almost 800 points, as investors worried the Fed's emergency cut won’t be enough to combat the economic impact of the coronavirus. US 10y yield drops <1% for first time.


The S&P 500 has plunged 15.7% from its high to low while the volatility index (VIX) has risen 270%. After a massive down week last week, the markets are trying to recover with a strong push to start Monday. What is difficult to assess is how much economic damage has been done. If the world slows, is that already priced in with a 15% pullback on the Nasdaq and the $SPX? I realize how many downside projections there are for the economic squeeze coming. The question is, with Apple (AAPL) and Microsoft (MSFT) market caps dropping 20% into a bear market correction, is the damage already priced in?

Else where the US treasury yields are running lower again.

In the absence of any firm political news, the most defining characteristic of financial markets in 2020 continues: Treasury yields drifting lower, again

SPX : Volumes 8 year highs

On the $SPX, we also hit 8-year highs in volume.

On the P&F chart the SPX downtrend ignited this month is not yet over. The measured downside target is near 2300.

Spiking Volatility

The VIX has a measured upside at 57 which will tie in with the more downside coming in equity markets.

SPX bounced but is too little

From a volume perspective, we had more than enough volume to mark a low. On December 26th, 2018, the Dow rallied 1000 points. On March 2nd, 2020 (a.k.a. Monday) the intraday high is up around 780 points just after lunch in NYC. So the rally attempt is underway, even in the face of massive momentum to the downside.

Dow Jones: More downside

The dow jones has a P&F target at 19000. Significant deleverage on the way.

Continues here

Mehabe is a high performance trading system operation on global clients forex accounts.

Trades are taken based on a powerful ECHO STATE NETWORK A.I. Program. The system has never had a negative month of returns. FEB returns have crossed +30%.

The system is trading on LIVE MASTER ACCOUNT.

If you want to get started email us at fundsupport@mehabe.com and we will help you get started and you will get same returns as above.

Mehabe is a Artificial Intelligence driven quantitative investing firm offering managed account, tradecopier and custom tailored investing solutions for global clients. We have a history of industry leading performance.
Website: https://mehabe.com
Email : fundsupport@mehabe.com

Copyright 2020 © Mehabe.com - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in