Wednesday, June 12, 2024

ES Morning Update October 29th 2018

Looks like the bulls are staging another rally attempt this morning. I have to think this one will stick as the prior 3 failed, which increases the odds of this one holding. Plus there's the "end of the month" to worry about for them, and I'd be very surprised if we don't rally up into Wednesday to close out the month of October with a lot less damage on the monthly candle chart. How high is anyone's guess but when you study the 1987 chart you'll see that the move up we seems to be starting now rallied up a little past the equivalent of the 10/17 high (2817 SPX) we recently had. Today the tough part for the bulls will be to push through various trendlines of resistance overhead.

I do not know how high they are going but history tells me that it will last until the end of this month... meaning this Wednesday. After that the market could chop around some or start right back down again, but once they close out the month of October they are free to do whatever with November. My best guess is that they will some wave 1's down and wave's 2 up into the midterm to setup a series up of them so right after the elections are over with they can drop the market hard is some wave 3 of 3 of 3 of whatever. So this coming Wednesday is likely to be the last stop on the bear train before plunging into the abyss in the following 2-3 weeks. But for today and into Wednesday I'm on the bull train, looking to get off by the close on this last day of Spook-tober.

Author: Red

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