DOW 12500 next week

DOW will approach 12500 before the end of next week, at which point we will get a much clearer indication of whether its the start of a long term down trend, or a resumption of the up trend.

If i am wrong.... i will not make or post anymore calls!

 

http://stockcharts.com/school/doku...._analysis:chart_patterns:measured_move_-_bear

I'm thinking it went from 11700 to 12800

12800 to 12000 800 points

50% up would be 12400

61% would be around the 12500 area

and then down 800 would get us close to the breakout point of 11700 that hasn't been tested and breakouts usually get tested

 

watch 12,000, think selling pressure could increase greatly if the DOW drops below 12,000. Many think this is a short term correction, that it will be met with new highs soon. Again this market is just too difficult to buy into on the long and short side.

 

http://i9.tinypic.com/2z6t4zm.gif


heres a 10 year chart

a pullback to test the breakout would be normal

 

'



you think 11700 could be support for the dow?

 

http://i9.tinypic.com/2vsf94y.gif

heres one with some more lines


http://i16.tinypic.com/4futwns.png

heres a cup with handle its not exactly but you can see the pullback to the breakout

 

I think if they hold it up until after options expire and it goes to 12500 then maybe 800 down to test 11700 might be a support area

that 11000 looks like it is pretty strong

I don't think it will dump 800 points straight down but its a target if it fails and goes below 12000

I like to use these patterns for targets because they work alot, a lot of people use the measured patterns, like head and shoulders measurements and 3 run measures

they work alot and the fibs measures work alot also

if a measured move lines up with support or resistance then it gets more weight

61% of 800 points is 480+ 480+ 12000 is 12480 - 800 the same move we already had puts you close to the beakout point of 11700

thats what i'm watching for anyway

if you look at some shorter term charts breakouts usually get tested and 11700 never realy has been, we broke it and kept going, seems normal to test it

 

BUMP!

3 days left before end of the week.

 

NEXT WEEK IS OPTIONS EXPERATIONS SO I KNOW WITH OUT A DOUBT THE MARKET WILL BE UP UP UP

 

This call was made last week..... making next week this week.
I have 3 days left to be proven correct.

(It will put my correct calls percentage through the roof )