Dow 30 Aug 22 to Aug 26 Outlook
By News Robot
Lawrence’s Comment
Recap
As expected, Dow failed to porduce any rally off Y+1 and crashed back down below Y-0 area. As last week was option expiration, Dow did not tag Y-1 and went sideway once 100% absolute range expansion is reached.
As expected, Dow failed to porduce any rally off Y+1 and crashed back down below Y-0 area. As last week was option expiration, Dow did not tag Y-1 and went sideway once 100% absolute range expansion is reached.
Outlook
Collapse down to Y-1 is likely.
Once Y-1 is breached Y-2 is the natural target zone to bounce off from.
Comments
LC, I am trying to understand the process and logic in the weekly forecasts. I can understand the measures using the yellow levels for the recap. However, for the outlook, the levels and the structure of 2 weeks prior appear to be relevant in your work. e.g. why wouldn’t the B-2 be the level to bounce from, which is the 100% range expansion of the previous week. I can see the importance of Y-1 as an important low. From there, expansion levels of that week are still in the cards and figure in the targets?
I do not expect Dow to trade much higher than last week low at all when the flush happens.
That means a drop to B-2 is not enough to be called a flush.
Thank you.