Hello Traders,
the news are written, the Tweets are done..(:-)) and the facts got set!
Always first the pattern develops, than the news followes. that`s exactly what happend over weekend during the meetings of the trade war talks!
Hang Seng, as many other indeces around the world plumeted to fresh new lows intraday. The US Futures, the NIKKEI Future, European Futures and other markets are down.
For chart watchers, it was clear to see, that there was something going on at the „back“ and a larger setback (at minimum) whas to occur, as I wrote many times at the last analyzes.
Todays decline for Hang Seng is either all of the decline, possibly a smal wave „4“ degree setback or it is part of a first leg of a possible wave „2“ correction of the advance that started at Jan2019!
On the short term (15 min) the labeld version of the chart shows, that wave ((Y)) is a 1.38 Fibonacci extension of wave ((W)). This is a common target for a „double ZigZag“ pattern and it closed the open gap left from trading at March 29, @29051 to April 01, @29383! Overall a „Island reversal gap“ has left at chart, which could be intepret as a change of trend and the start of a correction. Todays gap that occured by the opening could be interpret as a „Breakaway-gap“ that always set the start of a new trend.
Gap`s did not occur randomly, they occur at the start, the middle or at the end of a move!
If todays move was not all of the small degree setback, than a well sizeable target area is arount 328436.57, labeld with the blue trendline at chart, which marks the wave „4“ of lesser degree.
It could be interesting in the next hours and days how the markets will act.
These are just two opportunities that should bepossible for traders and markets.
We will judge in the coming days what is the best interpretation for the markets to move next.
Have a great week....
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!
15 min chart:
the news are written, the Tweets are done..(:-)) and the facts got set!
Always first the pattern develops, than the news followes. that`s exactly what happend over weekend during the meetings of the trade war talks!
Hang Seng, as many other indeces around the world plumeted to fresh new lows intraday. The US Futures, the NIKKEI Future, European Futures and other markets are down.
For chart watchers, it was clear to see, that there was something going on at the „back“ and a larger setback (at minimum) whas to occur, as I wrote many times at the last analyzes.
Todays decline for Hang Seng is either all of the decline, possibly a smal wave „4“ degree setback or it is part of a first leg of a possible wave „2“ correction of the advance that started at Jan2019!
On the short term (15 min) the labeld version of the chart shows, that wave ((Y)) is a 1.38 Fibonacci extension of wave ((W)). This is a common target for a „double ZigZag“ pattern and it closed the open gap left from trading at March 29, @29051 to April 01, @29383! Overall a „Island reversal gap“ has left at chart, which could be intepret as a change of trend and the start of a correction. Todays gap that occured by the opening could be interpret as a „Breakaway-gap“ that always set the start of a new trend.
Gap`s did not occur randomly, they occur at the start, the middle or at the end of a move!
If todays move was not all of the small degree setback, than a well sizeable target area is arount 328436.57, labeld with the blue trendline at chart, which marks the wave „4“ of lesser degree.
It could be interesting in the next hours and days how the markets will act.
These are just two opportunities that should bepossible for traders and markets.
We will judge in the coming days what is the best interpretation for the markets to move next.
Have a great week....
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!
15 min chart: