Stock Market Forecast 5-16-12 - Stock Markets Turn in The Trend is Around The Corner

Stock Markets' Turn in The Trend is Around The Corner

I commence with my gratitude to The Creator

Stock Markets are continuing to tumble, as previously noted in my recent posts. Once NASDAQ Composite having broken the strong  support @ 2,900, which had lasted from last week until yesterday, it is evident that markets are looking for last thrust to downside. This shall be quick, and fast drop and reversal in the similar manner. Nevertheless, watch out for the reversal starting from 05/17. Dow Jones Industrials have dropped into the support level as indicated on the attached chart herewith. S&P SPDR ETF, namely SPY also has approached the support as indicated in my post dated 05/08/2012 .  Momentum indicator is turning up, indicating the lack of sellers' commitment See the attached charts.

If markets do drop tomorrow, then DJI prices of 12,410-,12,450 level shall be the test. However, I am looking for sharp reversal to the upside staring as soon as 05/17/12. 

STOCK MARKETS UPDATE 05-12-12

I commence with my gratitude to The Creator

ARE MARKETS GOING TO REVERSE OR START A PANIC SELLING?

Market Forecast 05-12-12

Markets have been trapped within the channel, without the successful effort to break through the support levels at 2,900 for COMPAQ NASDAQ Composite. and We have arrived at the time cycle for change or reversal on 05/14. Friday close, thus, would be swing low for next rally until the next time cycle.

As a matter of fact, Monday could be very strong long green up bar.
However, what I want to give you a 'heads up' for the technical pattern being made on the hourly chart. Markets have been trapped from 05/08 in this shape. This is a bearish and continuation pattern of Flag or Pennant, Outcome of this pattern, would result into the another leg down. But first, markets must show their commitment to downward, with a gap, a breakaway from this trapped market's move. That would mean a big red down bar, then.

As time cycles do two things, reverse the preceding trend or help expedite the trend. This could even create an exhaustion gap.

NASDAQ: Watch for time cycle of 05/17-18 and up targets for the price levels of 3002, 3024, 3031, 3044 to offer the time/price squaring, and down targets are already published in the previous most recent posts.

Stock Markets Time Cycles Forecast 5-8-12

I commence with my gratitude to The Creator

IS MARKET HEADING FOR BIGGER CORRECTION THAN WHAT IS NORMALLY EXPECTED?

Stock Markets today, tumbled as much as 1.8% and then recovered some of the losses by the close of the day. Almost all of the leader stocks lost ground Tuesday At higher than usual volume, but many finished  above their session lows, mirroring the main indexes' action. In fact, NASDAQ volume was the record high for this year
Today's Markets reaction is indicative of underlying shift of markets' pressure points. If that is true and is validated by continuation of the falling prices and certain support levels as indicated by the charts attached., are violated, then markets bull trend is in serious trouble for next intermediate term.

My time cycle tool, is giving me May 14th and May 17th as turning points. Markets need to find support at these time cycles and with the corresponding price levels for SPY, of $133.45, $131, and last one at $129, as shown on the attached chart.

If stock markets only find some temporary support and consolidates at these time cycles and do not sustain the support, then Stock Markets are heading for serious decline and even shall suffer serious capitulation.
It means that time cycle top (by pulling the market higher) expected in October 2012, is being inverted. Stock Markets are being pulled downward until then and instead, shall be market bottom around said time of October 2012. Which will result in market retesting the low of October of last year.