Member
Posted 28 October 2020 - 06:11 PM
The neckline of the DJIA daily chart double top formation that I mentioned in my risk window post on Sunday was ever so slightly broken today. If the pattern develops, it projects a DJIA low at about 23,875 right in the middle of the May gap. It is also possible the neckline will provide support and the pattern will fail. We should know in a couple of days.
Regards,
Douglas
Edited by Douglas, 28 October 2020 - 06:18 PM.
Member
Posted 30 October 2020 - 10:02 AM
Well, the double top neckline is now pretty seriously broken after the DJIA danced around it on Wednesday and Thursday. So far no test of the neckline from below which would be nice but is not essential. The 23,875 target seems like an awfully long way below, but it is what it is. There's a gap at about 27,250. If it's a mid-point sort of gap, it measures down to about 25,500. Maybe that is the next port of call for the DJIA to stall out before it makes the final dive down to 23,875 to satisfy the double top.
Regards,
Douglas
