A mixed bag for equity markets across the globe today with two out of three core Asian indices closing higher. The Nikkei and Shanghai produced impressive 3%+ gains this Friday whilst the Hang Seng Index lost 1.05%. In Europe, the DAX failed to trade in the black all day, but we did see small improvements heading into the […]

Everyone is feeling good about themselves as the rebound in stocks continues. It is fair to say that all markets closed between 2–3% higher on the day. After solid gains in Asia, Europe opened on a firmer note and the U.S. followed. We did have a wobble mid-afternoon trade, but the final 90 minutes recouped the intraday drought and […]

QUESTION: Mr. Armstrong, Thanks for all you do.  I do have one question in regards to the Phase Transition above 23000 into the 35000-40000 number you have spoke of.  If we experience a close below 15500 for the month of August and see a continued correction into October to  around the 12000-13000 number would the […]

The closing of the Dow at 15666.44 was below support at 15824.73. Additional support lies at 15176.26 and a closing beneath that level will warn of a break down to the 14334 area. We do have four Monthly Bearish Reversals under 15000 with a gap thereafter down to the 13650 area, and the long-term support […]

COMMENT:  I carefully read through all your missives you had sent over the weekend, highlighting the importance of Monday for the Dow, and the levels given. You even said “Pay attention now Monday could be the intraday low. The open will be crucial”. And the low so far indeed did occur in the opening few […]

  The leading story for the sell-off has been Wall Street’s shock by the mounting worries over instability in China and emerging markets. The tumultuous decline has sent investors clamoring to race into safe-haven assets amid the confusion. Why anyone missed this is really befuddling since China’s share market peaked in 2007 and the rally […]

“Wild” is an understatement to describe today’s equity market moves. Some say the Chinese are at fault for their unexpected move in currency, but whatever the reason for the increased volatility, you can be sure they will increase margin requirements, which will add to the volatility and further the decline in liquidity. All Asian equity […]

This three-month rout in equities is scaring the hell out of everyone. It has changed the view that the Fed will not raise rates, which has sent the dollar lower in what appears to be the bubble in government, particularly in Europe. The bells are ringing this Monday across world markets with a 9% nosedive […]

A false move is measured from the high, not current time. Therefore, a FALSE MOVE would be two to three months from the May high in the Dow, which means an August low. That can be on a closing basis with an intraday in September and a rally for the close, or it is just an August […]

QUESTION: A false move? I don’t follow.. If as you say the European money that’s been buying US stocks is now heading back to Europe, who will be the new buyers of US stocks? ANSWER: A False Move is an event that must shake the tree to get everyone out of their longs, causing many to then short. […]