Recap As stated last week, there would be limited potential to stretch further as that has proven correct. Closed the week near Y-0.
Outlook Last week was not weak enough to be considered a reversal week.
As long as Y-0 down to B-2 can form a bottom, B+1 will be retested although that could take more than a week.
The catch (or the weaknesses of the bulls) is that there is a huge 100 point area right underneath B-1 that is made up of 2 gaps. If that zone is zoomed thru (e.g. a down gap) then a quick melt down to B-3 and Y-1 area is likely.
Lawrence's Comment
Recap
Consolidation with pullback to target mentioned last week. No real action until end of week tension increased between US and Russia. Closed the week near Y+1 and B+1.
Outlook
Above B+1 ...
Dow 30 Feb 13 to Feb 17 Outlook
Lawrence’s Comment
As stated last week, there would be limited potential to stretch further as that has proven correct. Closed the week near Y-0.
Outlook
Last week was not weak enough to be considered a reversal week.
As long as Y-0 down to B-2 can form a bottom, B+1 will be retested although that could take more than a week.
The catch (or the weaknesses of the bulls) is that there is a huge 100 point area right underneath B-1 that is made up of 2 gaps. If that zone is zoomed thru (e.g. a down gap) then a quick melt down to B-3 and Y-1 area is likely.
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