Futures are up again this morning so it looks like a test of the downtrendline is in order before a pullback begins. I have drawn an idealized projection of what we may expect over the next few weeks. The markets will pullback after hitting the trendline, and then break through and pullback to the trendline. After a successful test of the trendline, we can project a target equal to the deviation from the trendline at the 7/1 low, which works out to be just above 1160. The 61.8% retracement of the decline around 1140 may be a higher probability target.
I have a projected top date around the end of August, so if those targets are exceeded well before then, higher prices might be seen. We still have a long way to go before any conclusions can be made in that respect.
No comments:
Post a Comment