Engrbytrade Posts

On January 3, 2020 it was noted that a decline is expected to occur during the first quarter of 2020. After reviewing data up to this point calculations indicate this decline is still expected with minor adjustments. The Dow is now expected to drop between February 10, 2020 and April 6, 2020 (+/- 1 trading day) to a level of 19,510 (+/- 2%). Volatility will be extreme during this decline as a significant number of investors try to sell at the same time. If Exchange Insiders delay this decline, it will set the stage for a decline at a later date that will shake the foundation of the financial industry.

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Today’s upward move in the Dow will be the third try for Futures Traders to fill the gap between 28890.5 and 28908 that was left behind on January 26, 2020 at 17:00 (5:00 p.m. EST). Once this is complete, the Dow should continue to move lower.
Review the 15 minute chart.

If the Federal Reserve and Market Makers choose to exceed financial market structural limits, their actions could result in a catastrophic failure of the current 90 year Dow structure. A move above the Dow’s 90 year trend line of 27.25 degrees to 31,085 could result in a decline below the 6,000 range. A move above the 90 year trend line to 32,125 could cause a catastrophic failure with the Dow ultimately moving well below the 5000 level.

On Thursday, January 16, 2020 the Dow pierced its long term upper trend line that runs through the top of September 1929, January 2000, and January 2018. The move above this 90 year trend line of 27.25 degrees on a logarithmic chart is expected to be brief as Market Makers accumulate significant short sales with news events such as the Phase One Trade Agreement that was signed on January 15, 2020. Development of this type of trend line is explained in Richard Ney’s 1975 book, “Making It In The Market”. See the Colgate Palmolive example on page 300 showing an upper trend line, or what Richard Ney called the “upper force line”. Everything in the market is planned by Exchange Insiders. Richard Ney explains this in the following video clip: “Yes, The Markets ARE Rigged“. Today, Market Makers (formerly known as Specialists) use high performance automated computer systems to chart their course.

Chart Courtesy of StockCharts.com

Based on the identification of a Dow turning point occurring by January 6, 2020 (+/- 1 trading day), as noted on December 29, 2019, a decline is now expected to occur during the first quarter of 2020.  Preliminary calculations indicate the Dow should decline to 20,044 (+/- 1.5%) by March 10, 2020 (+/- 1 trading day).  Note that volatility is expected to increase significantly during this decline.

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Current data indicates the Dow Jones is expected to reach a turning point by January 6, 2020 (+/- 1 trading day).  Once this 90 year structure is complete, a long term decline should start and take the Dow below 6,000 by October 2022.

The Dow Jones Index crossed it long-term structural design limit on Friday, December 20, 2019 as it moved through 28,455.  It is possible for the Dow to stay in this range until mid-January 2020 before starting a long-term decline.

The current broadening top formation in the Dow is developing an ominous structural feature.  Based on this structure, a rapid move to the upside going into mid-January could present significant downside risk.  If the Fed follows through with their $500 billion liquidity intervention in an attempt to avoid another December 2018 decline, the result could lead to an extremely unstable Dow structure in the first quarter of 2020.

The decline discussed in Dow vs Aramco on Nov. 3, 2019 is still expected based on a move up from October 24, 2019 that was extended three days by Market Makers.  Friday’s move up in the Dow to 28,000 provided Exchange Insiders with an opportunity to sell to the public as media outlets manipulated retail investor expectations with optimistic news.  A decline is still expected to start by November 19, 2019 +/- 1 trading day and continue until December 24, 2019 when the NYSE closes at 1 p.m. EST.  This decline now has the potential to reach 24,200 +/- 1%.

Prior to the official announcement of Saudi Arabia’s Aramco IPO, Market Makers quickly adjusted the Dow timeline to accommodate the start of Aramco stock trading on December 11, 2019.  This adjustment shifted the Dow structure in a way that will provide stability in the markets until a final price for the float is announced on December 4, 2019.  A small decline in the Dow is expected to start by November 12, 2019 and move down to the 26,200 range by December 10, 2019.

Prior to any significant decline in the stock market, Aramco is expected to complete an initial public offering by December 11, 2019.

Saudi Aramco shares to start trading in December

The October 1, 2019 gap down at 10:00 a.m. (EST) in the Dow 30 Futures was filled today (October 15, 2019) with the Dow 30 Futures moving above 26,986.5 at 10:29 a.m. (EST).  This structure clears the way for a decline over the next 18 days.  Based on this confirmation, final structural calculations indicate the NYSE Dow 30 index is expected to decline to a level of 24,091.99 (+/-1%) by November 8, 2019 (+/-1 trading day).

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A majority of the gap down identified on 10/6/19 was filled today.  A down day is expected on Monday followed by an up day on Tuesday to fill the remainder of the gap.  Tuesday’s peak will initiate the start of a decline going into November.

Time is short for Market Makers.  The latest calculations indicate a turning point in the Dow by Monday, October 14, 2019 (+/- 1 day).  Preliminary calculations show the Dow is expected to decline to 24,527 (+/-1%) by November 6, 2019, and then move upward for ten days before the next turn to continue the decline.
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