FTSE tech outlook – perfect example where the overall market is

Left hand the weekly FTSE chart – after a sharp retracement up we are now in week 9 which tends to end the momentum or give it a severe turnaround even in cases we are heading for much more as you can easily see on the way down. I think for the next weeks we will swing around the top end of that high with an amplitude of 10% above it and below it in terms of the FTSE it is 500o on the upside and 4000 on the downside thereby the bias is now rather to test the 4000 within a correction and 3 weeks.
Same applies for the SPX and the range is 830-1030 basically I do think we are and remain in a bear market and are in bigger wave 4 up still and enter wave 5 down in later Q3 ( explained that in earlier posts). We have 3 reasons why we do not turn back down immediately the first is the natural law of forces an extreme move needs to find its own equilibrium and swings back to some degree just to keep the balance ( that is also true for the fundamental background as all governments have intervened in various ways to bring the economic erosion to a hold ideally they wish they have turned it but that’s not possible). Second reason is that it is part of the human nature not to be able to let go ( even then you brake up with someone you tend to give it at least another try after a crisis) and in this case its even astrologically backed by a Jupiter / Neptun conjunction so the rosy glasses are on us and its easy to sell the naked emperor. Obama does that and its not a prudent thing to do because the facts prove him wrong in the near future but that’s why he does not intervene with the upside manipulation since it lifts the overall/consumer sentiment. This will be around for another 2 months until some ultimate negative forces come back to play Uranus opposition Saturn and even more so Saturn square Pluto in Sep and Oct 2009. The 3 reason is pragmatic and evil as in order to make a scam one needs to create the idea that the other person can make a profit. The media and the cheerleaders are drumming the bull song again ‘the worst is over’ and ‘a new bull trend has started’- suddenly all the ‘expert politicians who missed to inform us about the top have a bliss where the low was but more so the ‘club’ wants to make us believe that after a deep correction the bull market is back and tries to sell the market with Goldman the top runner. For a week now they raise all kind of sectors around the highs to create pressure on the long only funds who have missed the party and I am sure they will succeed starting mid June when the end of the quarter gets closer and the market does not really fall back. Second trigger will come in July breaking above 950 and the 200 day MA they will force the retailers back in as well with the help of a great salesman President Obama.

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~ by behindthematrix on May 22, 2009.

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