|Sunday, August 25, 2019|
Another wild week last week with tweets from President Xi of China telling us that China will add tariffs to another $60-$75 billion of goods and then President Trump tweeting that he will add another 5% of tariffs to goods coming in from China as this never ending trade war continues to escalate.
I thought the market was ready to move above the Flag pattern on Friday until those tweets came out. The market reversed after being up 200 points to being down over 600 points for an 800 point swing in just a few hours. This sure makes buying stocks very tough, as you just never know when a tweet will hit, and stocks will drop or pop depending on the news.
Letís start off with the S&P-500 that still has lower highs and lower lows firmly in place and looks poised to start the next leg down to possibly complete wave C of this ABC downside wave.
My short term-trading oscillator closed the day on Friday at -25. Oversold readings start at -40 and lower so it might take another day like Friday to get us into oversold territory.
Letís move on to leading stocks that are having a tough time in a very wild choppy market.
Hope to see you in my chatroom Monday and then back here Monday night.
Daniel J. Zanger