NASDAQ Puts the Stock Market Crash is coming theory into question | HuffPost - Huffington Post

Financial experts love to spin lovely yarns; in fact, most of them appear to have chosen the wrong field; writing fables would have probably been a better choice.

The real phase of a bull market starts after it has taken out its old highs. Until this moment occurs, it’s not a real bull market The Nasdaq recently achieved this milestone; this was not an easy feat as it took the Nasdaq 15 years to break through the strong zone of resistance illustrated In the chart above. A market normally doubles after breaking out to new highs, especially if it has been struggling to achieve this for 15 years. Roughly it should trade to the 9800-10,500 ranges before putting in a long term. Therefore until this occurs the most likely outcome is that it will experience corrections ranging from Mild to strong along the way up.

Example of An expert who has said the same thing over and over again hoping for a new outcome

How would have experts felt the if someone told them that the Dow would be trading past 21K after it dropped below 7,000 in 2009. The first reaction would be to state the person making these claims was insance. But that is exactly what we did in Aug of 2016; we statded that the Dow was gearing up for a move to 21K. These targets were hit at the beginning of this year. Since then we issued higher targets the second of which was 22k and that was also breached recently. The main reason for this stance boils down to market sentiment, the masses have not embraced this bull market, and therefore it is destined to trend higher. We dedicate an inordinate amount of time to mass sentiment analysis and to studying the mindset of the masses. Mass Psychology is very clear on this subject; the masses need to embrace this market with gusto; until they do, the market is destined to trend higher.

We don’t expect the upward journey to be smooth; along the way up we expect the market to experience corrections ranging from mild to wild. As long as the primary trend is up, all corrections have to be viewed through a bullish lens.

The NASDAQ has just validated the statement which we first put out in 2014:

This Bull Market will trend to levels that will shock the most ardent of bulls.

This has proved to be true every year since and will continue to do so until the trend changes, every strong pullback should be viewed through a bullish lens.

Read Again NASDAQ Puts the Stock Market Crash is coming theory into question | HuffPost - Huffington Post : http://ift.tt/2g0YU9c

Let's block ads! (Why?)