After the stock bears stopped for their Turkey dinners, they seemed to have resumed their decline. At this time my wave positions haven’t changed all that much but there will always be adjustments and fine-tuning along the way. It may take far more downside before the majority start to clue into the size or scope of the impending bear market.
When the small minority start to see the bearish scenario all at the same time then a mini panic usually occurs. Black Friday shopping and Black Friday stock market panics are not the same things! 🙂
I will keep this update fairly short, but most of the indices I cover have similar wave counts. Trillions of US dollars has evaporated (lost) in a puff of E-Smoke already, and I’m sure deeper losses are still to come this year. Money destruction is hardly ever associated with “deflation” but that is exactly what is happening. This is now the third episode of money destruction since the 2000 peaks. It’s far from over as the 2016 lows might give the markets some temporary support.
Any market rally that does not act like it’s in a real bull market, will just be another bearish rally. “All” bear market rallies retrace themselves eventually, and the size of these bear market rallies depends on the degree level we think we are in. Sorry, but any Cycle degree bear market is not going to end in just a few months, or even in a few years, as this could take until 2022 to play out!