Pay attention. ES long term support may surprise markets (long)

11. Okt. 2022

If you have not been paying attention, this is a good time to learn about a support level many are ignoring.

Yes, this support from 2011~2015, and the range I've drawn in BLUE, will likely prompt a relief/recovery rally (if support holds). If this support level fails, then we will see a much bigger breakdown in the markets over the next few months (before the Fed steps in to save the day - if they can).

Please understand this is a technical support level that may prompt a US Christmas Rally phase (if it holds).

There are no guarantees, but earnings should set the tone with extended volatility and, I suspect, fairly clear expectations headed into Q4:2022 & Q1:2023.

Get ready. If my research is correct, we will quickly transition into a Christmas Rally phase while the doom-n-gloomers sell the rally.

Should be fun.

Follow my research.