The Long Investor

$SPY TOP 20

Added 2023-01-14 20:11:30 +0000 UTC

Ok I think it is valuable to add in the bull case because I have seen a lot of confusion over the last week and on Twitter and ultimately, someone is going to be right, a lot of people I respect are unclear what direction this is going and we are not going to stick our head in the sand and act like we are not open to being wrong.

One thing is clear, if it does enter the bull case and goes above 411 and we buy here, we have bought at the lowest risk start of the bull case, you will still make money here.

And if this is Wave 2 of an impulse wave, it needs to pull back, hold support where I have shown and then proceed for Wave 3.

The structure as it stands right now is not showing strength, weak volume and looking extended, it may go a little higher but if this is truly an impulse move, it needs to properly pull back to complete Wave 2 and then start Wave 3 and we can confirm it to be bullish.

If it does not hold the levels I have shown for Wave 2 and breaks down, then the bottom is not in yet.

It would baffle me if the bottom came in in October 2022, 9 months before an expected recession hitting the US.

There is very little to be optimistic about, the inflation numbers did not pump this, the bank earnings did very little apart from confirming they expect a recession, earning season has just kicked off and Yellen has a tough few weeks ahead as she battles a scarce liquidity issue.

But let's see what happens, we are not aimlessly saying the bottom is in or saying that the market is going to crash, we are weighing up all possibilities.

I have my opinion and I ask that you all consider the information at your disposal, not just my charts and my opinion and come to a conclusion that you are happy with.