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In 2022: The market has sold off so much. 4 out of 5 analysts were calling for a recession in Europe and America. The Chinese economy was locked down due to virus restrictions causing supply chain issues. Russian war supply chain issues were apparent as well. Inflation was skyrocketing and there was no end in sight. This sent Treasury yields and the Dollar Index skyrocketing as the Fed was fighting inflation. Basically everything looked very bearish for equities last year. A lo...
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Wedge Pattern Candlestick Formation
With a wedge formation this big you should expect a big price move once the market picks which direction the market wants to go. And this should happen very soon as the price is coiled up about as tight as it can be at the tip of the wedge. A breakout is imminent.
$Invesco QQQ Trust (QQQ.US)$ $iShares Russell 2000 ETF (IWM.US)$ $VIX Index Futures(DEC4) (VXmain.US)$ $SPDR S&P 500 ETF (SPY.US)$ $SPDR Dow Jones Industrial Average Trust (DIA.US)$ $Gold Futures(FEB5) (GCmain.US)$ $E-mini Dow Futures(DEC4) (YMmain.US)$ $E-mini S&P 500 Futures(DEC4) (ESmain.US)$ $E-mini NASDAQ 100 Futures(DEC4) (NQmain.US)$ $E-mini S&P MidCap 400 Futures(DEC4) (EMDmain.US)$ $E-mini Russell 2000 Index Futures(DEC4) (RTYmain.US)$ $CBOE Volatility S&P 500 Index (.VIX.US)$ $VIX Index Futures(DEC4) (VXmain.US)$
With a wedge formation this big you should expect a big price move once the market picks which direction the market wants to go. And this should happen very soon as the price is coiled up about as tight as it can be at the tip of the wedge. A breakout is imminent.
$Invesco QQQ Trust (QQQ.US)$ $iShares Russell 2000 ETF (IWM.US)$ $VIX Index Futures(DEC4) (VXmain.US)$ $SPDR S&P 500 ETF (SPY.US)$ $SPDR Dow Jones Industrial Average Trust (DIA.US)$ $Gold Futures(FEB5) (GCmain.US)$ $E-mini Dow Futures(DEC4) (YMmain.US)$ $E-mini S&P 500 Futures(DEC4) (ESmain.US)$ $E-mini NASDAQ 100 Futures(DEC4) (NQmain.US)$ $E-mini S&P MidCap 400 Futures(DEC4) (EMDmain.US)$ $E-mini Russell 2000 Index Futures(DEC4) (RTYmain.US)$ $CBOE Volatility S&P 500 Index (.VIX.US)$ $VIX Index Futures(DEC4) (VXmain.US)$
Violets : I put down earnings because I think people truly have pulled back on using quite a bit of software and definitely spending money. but I know many people that think that we actually are going into a bull market and the economy is just fine. they think the recession talk is globalist creating a recession and that the economy is much stronger than anyone is letting on. I think that interest rates are going to increase and therefore I think that's what will bring us down in 2023 for us extended amount of time. however I don't think it will be the entire year. also people think that the FED is going to introduce a federal digital currency and that that will be one of the reasons that the market will be forced to crash so that that can be introduced. just what I'm hearing
SpyderCall OP Violets : i haven't heard much about the Feds digital currency and it potential impact. Its interesting that somebody said the market needs to crash for this to happen because China introduce their digital currency. and they did this when their market crashed for almost two years straight.
as for US markets. I'm feeling bullish but not as bullish as a complete bull market in 2023. not yet at least. Based off of history earnings should be effected by rising yields. but the lag affect of interest rate increases can take a year or more to impact an economy or earnings. That is why a lot analyst are thinking only half of the year will be good. but who knows.
until i see some bad data or earnings im just going to ride the trends
Violets : Do you know of the trader called Spud?
he posted something interesting today and I'm going to post it here for you. I'm not as good of a technical trader as you are but I think you will find this interesting
Violets SpyderCall OP : this is what he said.... the guy has been trading for about 4 years but he made like a million his first year. but then he went all cash at some point in 2022. I think he trades mostly penny stocks and sometimes calls on spy and other s&p stocks.
Violets SpyderCall OP : you know it would be great if even half the year was bullish but I am so bearish it's hard for me to buy calls but I know I'm missing out. I think if I keep buying puts though I'm going to get burned even more. I thought the second half of 2023 would be bullish don't the first half but so far I am spot on wrong LOL. can't help but think the said might bring this down on February 1st or 2nd
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