The Dow Industrials rose effortlessly more than two hundred points in the first hour of Tuesday’s session before ending the day with a shallow correction. This suggests buyers are not the least bit winded from last week’s steep climb and that still higher prices are likely over the near term. I can offer one Hidden Pivot target with possible stopping power nonetheless: 23,665.10, which can also be used as a minimum upside projection for now. If it’s reached, that would equate to a 224-point rally from Tuesday’s close. I am not furnishing a chart with this forecast because the target’s provenance is proprietary to the Hidden Pivot Method. Subscribers interested in the technical details should check my chat room post at eight minutes after midnight on Wednesday. I suggest using DIA options to trade this one — bullish initially; then, if you are so inclined, short and tightly stopped at the target.
Another 224 Points Before Indoos Hit a ‘Hidden’ Obstacle
- October 25, 2017, 10:03 am
Friday’s close was an all time high close. Monday the NYSE declining volume was 301% of Monday’s NYSE advancing volume on a UP closing INDU day. Three or four more heavy declining volume ratio days could indicate that we had a major top.
The following table shows the ratio of advance decline volume when the ratio is greater than 150% or (1.50 in the table above) notice 10/06 and 10/09 dates as both where UP closing dates in the INDU index.