Hubert Senters here.
Let’s take a look at SPY because that’s going to be a good barometer for the majority of the market out there. Not all of them but it’s a good barometer. I’m going to walk you through the analysis that I do and what I’m looking at so I’m going to remove all of this from the chart and just start fresh. So far it’s below the cloud. That’s bad thing it’s probably going to go lower right off the bat.
Second thing I want to see where we came from and what we’re doing right now and what we’re going probably next. Just common questions that I want to keep right around the head trying to figure out which way this thing is going to go.
I’m going to go from the Fibonacci retracement. What I’m going to do is I’m going to draw from the top of here and drop it down here to the bottom. From the beginning of the selling to the end of the selling.
Now, I’ve got a nice little bounce up so it’s had a heck of a selloff and a decent bounce where it should go if this mark is normal and heads up, it’s not normal. But anyway, accordng to my plan I want to bounce up 50 percent of there to $279 and then I either want to cut through that like a hot knife through butter and go much higher or I want it to fizzle out and roll over.
It hasn’t done that which that means that’s weaker and then I think it is actually. And then usually it will retrace bouncing up from here to the standard line that little purple line and then it will give out there. It didn’t even do that so now we gap down and we’re going to head back down here to the $240 area and then take out $218 and will probably take out this most recent low and put in a new low because it’s just like the virus we’re still peaking this thing.
The virus has a peak and our stock market has not bottom yet. From there I will look at market internal. One thing I like to use is develop the Mark Helweg. It’s a tick indicator. And I’ll use an intra-day one on this one, 5 minute. I’ll show you my settings in case you want to know what it is.
These are my settings. DeltaLookback 53. And then I know we’re gaping down and basically all day to day with that selling pressure so it wouldn’t make any sense for me to buy today unless I’m a long term investor and my rule is I only want to buy it on down days.
Anyway, that’s how I look at it. That’s where I think it’s going. And that’s how I play it intra-day. I’m going to HYPERLINK you to Mark Helweg’s registration form for this webinar tonight Wednesday, April 1st at 8PM EST.
Good luck. Hope it helps. He’ll show you how to use this stuff tonight.
Hubert.
