Recap Not only Dow fulfilled our upside target of 12000 mentioned last week, it actually completed 100% absolute range expansion before stalling. Closed the week near the high of the week.
Outlook Consolidation to slightly higher within Y+3 and Y+4. Reactions to major news shocks from last week will take the market sometime to digest.
Pullback to the gap is expected once the short squeeze dynamics is over.
Hence, I am expecting a choppy rally for 5 to 8 days that produces a top leading Dow back down to this open gap below.
Overview
Emini overnight range 1829.25 up to 1878.50
Overnight Midpoint 1854.00
Previous Week Low 1849.25
Emini S&P is now trading at the bottom part of its range with gap up of ...
Dow 30 Oct 31 to Nov 04 Outlook
Lawrence’s Comment
Not only Dow fulfilled our upside target of 12000 mentioned last week, it actually completed 100% absolute range expansion before stalling. Closed the week near the high of the week.
Outlook
Consolidation to slightly higher within Y+3 and Y+4. Reactions to major news shocks from last week will take the market sometime to digest.
Pullback to the gap is expected once the short squeeze dynamics is over.
Hence, I am expecting a choppy rally for 5 to 8 days that produces a top leading Dow back down to this open gap below.
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