A review of additional data with the recent discussion surrounding GE indicates a truncated rally going into October. The following model reflects extreme volatility over the next few months. If the Dow aligns with the first three moves noted below, there is a high probability a steep decline will follow in the fourth move.
Current Projected Scenario (Model #2019-4, Rev.2)
Dow closing price on August 16, 2019: 25,886.01
The Dow is expected to:
1. Move up to 27,605 (+/-1.0%) by October 9, 2019 (+/-1 trading day).
2. Decline to 23,890 (+/-2%) by November 18, 2019 (+/- 1 trading day)
3. Move up to 25,952 (+/-2%) by December 3, 2019 (+/- 1 trading day)
4. Decline to 16,563 (+/-2%) by , January 17, 2019 (+/- 1 trading day)