arbusers wrote: ↑Thu Aug 17, 2023 11:38 am
Of course, as always, this is not a financial advise but I wanted to visualise my way of thinking in regards to the SP500 targets that I previously set.
To me, there is a clear and well-defined descending flag as you can see in the uploaded image. Descending flags within bullish markets are trend continuation signals. The dominant trend will be continued, and this trend is clearly bullish. According to classic T.A, the final target will be determined by the length of the pole of the flag, added to the price the exact time when the flag is broken. By implementing this simple rule, we see a target of 6400.
Have a look:
But...
The SP500 has a very bad record of obeying to classic T.A and EWT. That said, my best case scenario as we speak, (and I always keep the right to change my opinion when the charts dictate so) is a final push towards 6200-6400. Like always, I am closing my eyes and ears to CNBC, Twitter and Youtubers (not to mention TikTokers and the Veles boys), and I choose the scenario that comes from my charts.
Again, not a financial advise. I am telling you what I do with my own money, and not what you should do with yours.
This is the most educative post I have ever seen online and again I thank you for that.
Is the target of 6200-6400 still valid for SP500 according to your calculations?
I study T.A as hard as I can and there is a question in my mind that I have no idea how to answer. Your chart with the 2 poles is analog. But I see the majority of analysts using logarithmic charts. If we use a logarithmic chart in your analysis, the final target is much higher than 6200-6400. Which one is correct then? Analog or logarithmic?
Again I thank you for the knowledge you share with the community.