Daily Archives: February 3, 2018

DJIA Potential Counter Rally

As much as this decline was a surprise to most, we could be setting up for a wild counter rally that can take us right back to the 26,300 price levels. I may be wrong, but the bears could be in a mini bear trap as I post. Either way the start of this decline has the makings of a diagonal decline and if it is real, then it must “NOT” charge to a new record high again.

Investors and most experts have no clue how big this next bear market is going to be as they keep talking about, “Buying the Dips”. No worries as many experts say a simple 8% correction will happen and then off to new soaring highs. Good luck with that as the contrarians, I trust, look at a 70% correction.

Even the expert wave counters have very bullish wave counts and they see no 70% decline at all.  At a bare minimum, we should see the DOW drop below 15,000 which is just one previous 4th wave bottom.

In order to really qualify this Cycle degree decline, the DJIA must fall anywhere between 14,000 and 6500 to be considered the previous 4th wave of one lesser degree.

The VIX has also made a very violent move just short of the $18 price level ending with a very vertical spike, so the VIX could also be telling us about an impending counter rally.

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Bitcoin Decline Taking A Break?

Last week the Bitcoin slide seems to have come to a halt, at least temporary. Nothing is certain but on Friday Cryptocurrencies jumped by $39 billion, with about 1507 total cryptocurrencies being published. The pace of ICOs seems to be slowing down a bit  with the addition of only one or two ICOs in a week.  If I use trend lines, then I always use them in perfect parallel first, in this case my bottom trend line is the base ending on another spike on Friday.

My wave counts are not trustworthy to say the least, but I see no real switch back to a bull market just yet.  We would need to see a much steeper decline than what we have had so far. So far about $11,520 has been erased from the Bitcoin ledgers, as the world seems to attack this unregulated market. Those people that tell you that Bitcoin is an investment have no clue in what they are talking about as nothing this unstable should be called an investment in the first place.

I ordered in 11 of the fake Bitcoins and I showed my friends my order sheets. They wanted Bitcoins as a novelty item as well, so chances are good I can sell all of them as they will show their Bitcoins to friends as well.

JPMorgan Chase, Bank of America bar bitcoin buys with a credit card – Business Sector

Bitcoin is under attack on a fronts with most banks no longer willing to allow customers to purchase Bitcoins with their credit cards.

Nothing that has happened after the Bitcoin bubble burst has surprised me one bit, as this Bitcoin Mania could be a one hit wonder! Just in case you just walked out of a cave,  you are witnessing the crash of the biggest mania in market history surpassing even the Tulip Mania  by a long shot.

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