NYAD Advance-Decline Line

As projected, from the blue circle which represents the last commentary, we were looking for a market bounce so that NYAD would move up above the green line to further identify the market top, then head lower again to follow the previous pattern shown by the combination of a blue circle and red circle. The intial low number (blue circle) occurs, then the drastic market lower low follows next with the double red circles, typically in about a one or two week time frame. Voila, so far price is performing exactly as forecast five trading days ago. The stage is set. If the market bears plan on pushing markets lower, now is the time for them to act.

Note that during the previous blue circle-red circle patterns that in the middle period a low occurs at the red bar. This would equate to markets dropping now, then bouncing quickly for a one day bounce, then down sharply to follow the previous pattern placing substantiallly lower prices for the broad markets. This is an exciting turning point for this forecast and in the days ahead we will see how it plays out. In a nutshell, markets should sell off ove rthe coming days until a -2000 print occurs. As mentioned on this site during this market topping event over the last three weeks, the move down may be swift and fast for markets and surprise bulls and bears alike.