US Bull Market Extended into 2032

I apologize for the time between blog posts over the past couple of months… WordPress changed the editor on me, and I’ve been tied up to investigate how to restore the previous editor… now it’s restored and I have some catching up to do.

I want to start writing here again on a more regular basis, an assortment of articles pulled from my IG posts @milehighstrategies , and other times, just a daily post of the charts I sent to IG for the day, along with the commentary.

This article is from several posts I’ve made over the past weekend regarding a change I’m tentatively making in my long-term fractal count on the SPX specifically and in the US equities markets in general.

Due to last year’s Dow closing below the previous year’s level, Martin Armstrong’s @armstrongeconomics computer is now no longer looking for the US equities bull market top in the ~2021 time frame, but rather to extend out to the ~2032 time frame.  I totally respect the Pi time series work Martin has pioneered and I have not ever known his computer to be wrong about anything markets related, so I am willing to give it the benefit of the doubt, until or unless events cause it to change its forecast.

 

 

This change was also easy for me to see in my own work, as the forecast I made back on 4.9.16 was beautifully on track, until political and global pressures altered the game board enough to no longer allow the SPX to complete its wave-iv at the ~2700 range, so it could push upward in wave-v:5:V to the ~3600 range, but rather, wave-iv developed instead into what appears will be a double zig-zag expanding diagonal triangle formation, and expanding triangles are always continuation patterns, so this will end up being a sling shot that will allow the SPX to push upward to beyond the previous target of ~3600, to more likely the ~5100 range.

 

Link to larger chart:  Link 

 

The chart above is my original 4.9.16 forecast overlaid on the weekly SPX and I added what I think it will become instead, the zig zag mentioned above, so at this time, I’m looking for the SPX to move upward in three waves to the ~3040 range in wave-(x):iv, then to drop back downward to the ~2100 range in wave-(y):iv to complete the corrective fractal pattern that began in January of 2017.

 

Will Other US Indices Confirm This?

 

Since this is still a working theory, I thought to take a look at other indices that would need to continue moving upward to make this bull market extension possible, starting with the Dow Transportation Index.

 

Link to larger chart:  Link

 

In my opinion, the Dow Transports actually show the 3-3-3 pattern up to wave-(w):iv the best, and seem to confirm my fractal interpretation thus far.  This would be pretty much confirmed if the DJT continues upward to the upper channel UTL in three waves and then promptly reverses back downward to the lower channel DTL… I’ll be watching this play out.

Another US index that would need to confirm my fractal interpretation for the SPX, is the US small caps – the Russell 2000 (RUT).  If indeed the US equities markets are in an extended bull market into 2032, then the small caps would also need to be along for the ride for most of that time too….
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Here’s the Russell 2000 weekly chart, showing the potential for an expanding corrective double zig zag pattern… watching.

 

Link to larger chart:  Link

 

What Would the SPX Look Like Rising into 2032?

 

So then, IF the US equity markets do continue upward into the 2032 time frame, what might that look like?.

Below is the monthly SPX with two UTLs on the price and the lower channel DTL for the double zig zag pattern…

If my fractal interpretation is correct, then the SPX pushes upward to the ~3040 range in wave-(x):iv, then drops back to perhaps ~2100 in wave-(y):iv to complete the correction that began in January 2017…

Wave-i could take the price back up to the lower UTL to perhaps ~3290 or ~3437, then back down in wave-ii to say ~2300, which would also set up a very large RH&S formation…

Wave-iii would then take the price upward to the higher UTL, which could be at ~4166 or ~4513…

Then a sideways correction wave-iv would see price drift back down to the lower UTL, in the ~3750 range…

Then the final high would finally push upward to the ~5100 range, shooting upward through the upper UTL, connecting the highs of 1987 and 2000… .
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This is just a quick exercise in “what if” that will likely be revised a few times along the way… for entertainment purposes only… watching.

 

Link to larger chart:  Link

Most charts by Investing.com

 

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