| | | NDX - After the current bounce ends in the 13,150 area (could be lower), short term downside objectives will be guided by the Head & Shoulders pattern as seen below. The H&S pattern targets (11,167 & 10,142) have already been confirmed, and the only way they could be nullified is with new ATH'S. These targets should be the best trading/bounce opportunities as the index makes it's way to the ocean floor over the next 2 years. One more good trade opp will be calculated once these bounces conclude, which will be a mid-tine bounce in the coming down fork.
How low is the floor? The fork will give the number, but I'm guessing 7X forward 2023 earnings, which I expect to be about 1/3 of 2021 earnings.. so maybe somewhere around 2000? What cant be forgotten is this degree correction has never been seen before in the indices, and this correction is retracing the completed 5 wave move up from the 1787 beginnings of the US Equity Markets. This is not a correction the size and intensity of which any of us have even contemplated before now.
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