DOW and S&P Monthly
November lows support, and 4th Week reversal back towards the December 50% levels next week.
Recent support will disappear next month and any further weakness and the expectation is to move down into December's lows.
Once those December lows are reached I have the view of global markets making their way into higher prices in early January.
DOW and S&P WeeklyMonday's rally and HOOK bar over the Weekly 50% level.....
Dilernia principle HOOK:- This often results in a higher prices into Friday, confirmed with Tuesday remaining above the Weekly 50% level and the remainder of the days continue higher into Friday.
At this stage whilst US markets are trading above their Weekly 50% level, the bias is to continue towards the Weekly highs which match the December 50% level:- resistance.
DOW 5-day pattern
In last Week's report I was looking for 2 day down move and then a reversal upwards, but when Monday moved above support then the price action was to follow the 5-day pattern higher.
This resulted in the HOOK Weekly pattern on Monday, and the rest of the week was simply trading on the side of support as it follows the 5-day pattern higher each day.
In conclusion:-
I have the view of lower Prices in December and down into December's lows.
But I have a view that in the short term, whilst prices are above the Weekly 50% level then the market path is to continue towards the Weekly highs and December 50% level.
However, being a higher Weekly open I have the view that early next week there should be a 2-day reversal to re-test the Weekly 50% level.
If those 2-day's are able to remain above the Weekly 50% level, then there could be another higher Friday close by next week into the December 50% levels.
If price isn't able to remain above the Weekly 50% level after a re-test of it.... then early December could see bear-trend continue down into December' lows to complete my 2-month pattern.
