Breaking: WRMB setup spotted!
WRMB™ = Wash n Rinse Many Boxes
WR4B™ = Wash n Rinse 4 Boxes
- Year to year, month – month down.
- Week to week up (retracement).
- No reversal sign spotted.
- Resisted by equidistant channel (orange).
- Potential head and shoulders at resistance.
DJ30 1-2-3-4 bearish
- This one is a gangster; very bullish. Every time Bullard (CEO and President of F.R.B. St. Louis) opens his mouth, this index will rally in V-shaped pattern.
- However month to month is down trend so should be a continuation.
- Note also that there is a special milestone at the current high. Stock markets like Singapore (STI) has corrected nearly 30% off the top while Hong Kong (HSI) has corrected more than 30%. Yet ‘exceptional’ USA with its usual ‘green shoots’ attitude is down only 10%! So either STI and HSI are oversold or DJIA hasn’t caught up yet. You decide. For me, I trust what trend tells me.
- Therefore if HSI and STI represents ‘fair value’ of stocks, DJIA has to fall hard by another 20% just to be on even ground.
Director, TerraSeeds Market Technician Pte Ltd. Trader, investor. @sohtionghum was picked ‘Top 70 Forex Twitter in 2015’.
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