We are in a strong equity bull market and the stronger the market gets, the more angry the bears become. I can’t tell you how many times I’ve seen Demark sequential indicator posted by the bears who tried calling the top over the last year or two. It’s just silly.
Every time the market makes new all time highs the top pickers come out of the caves and literally start throwing money away. Sure, one of the future all time highs will become the top, but do you have enough money to survive until we get there?
Maybe my post is marking the top, maybe not, time will tell. No one knows, not me nor you. But I would say, based on all the evidence, we still have quite some upside left. There are more and more markets participating in this bullish trend, which is a sign of strength, not weakness. Not only the US stocks are strong, but European (did you go long DAX in September as suggested here?) and Asian are too!
Let us take a look at the weekly chart of Australia200 stock market index.
— Domen Butala (@DomenButala) September 20, 2017
At the moment the price is challenging falling trend line resistance and if it breaks higher, this would be very big. To see this year’s frustrating sideways price action let’s give it a closer look on a daily chart.
Can you imagine how frustrating it was for the guys involved in this trade while other indices were ripping higher this year? Can you imagine how much negative energy could be squeezed here by the guys who think Australian market will crash? And last but not least, can you imagine how beneficiary to the stock markets would be if even Australia200 starts breaking higher?
So if this resolves higher… Oh man, saddle up and enjoy!