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A New September Down Trend Is Starting

Published 09/03/2017, 09:33 PM
Updated 07/09/2023, 06:31 AM
W5000
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I have been watching the Wilshire-5000 total market index closely and it is currently telling me that the uptrend that started near August 18th 2017 is about to end.

My trend indicator and the fast stochastics from the Wilshire 5000 daily chart are both getting very close to crossing over and heading down. I believe that will happen this coming Tuesday - 09/05.

If we repeat the previous downtrend, we could see another 13 daily sub waves and 15 hourly sub waves having to get processed. The last similar downtrend took about a month to process.

The negative emotion that could add stronger down momentum is the Harvey disaster, North Korea threats, and the debt ceiling with a possible government shutdown.

I still believe that we are in a topping process for the second longest bull market in history. I also believe we are entering into the stronger period of high volatility, that happens just before the final bull market top.

Happy Trading

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