No matter what has happened since 2019 nova coronavirus outbroken, world stocks markets kept rocketing and overcoming new high levels all the way. But we’d better keep alert when something seems uncommon according to the TA.
Have a look of the symbolic index like SPX500, the 5th wave almost done plus top deviation, moreover, the upper wedge was broken downside, every sign points to a start of recession.
Daily chart of SPX500 shows more evidence of the imminent correction southward of the market such as obvious top deviation plus over bought.
Another solid proof of one of the most notorious Chinese company listed in HK market, Tencent is pricing the more and more uncontrollable pandemic not only in China, but also outbreak all over the world. Who can haul the coming sell-off when the chart shows the typical top signals including the end of 5th wave with top deviation?
My conclusion is the financial market is pricing the dangerous risk of uncertainty which could cause further panic anytime as every one understands well the pandemic has huge potential impact not only on public health and safety, but also the fragile international economy.
The crooked guys in Wall Street might be in one pair of pants temporally for a while to buy back synchronously. They could still pretend everything is under control and the market will go up and up. But what if someone of them found something wrong and would like to betray them to avoid the risk of the scheme?
It’s time to sell, no matter what the propaganda says. They are never honest, not once.
All the opinions are not to be taken as strategy to trade in the market, only for reference.