“If the market (S&P, Dow, NASDAQ) opens lower tomorrow, Friday and continues decisively lower, we might add Tuesday, November 24th, 2020, as another empirical data-point for Holiday Turns.”
The quote above was from last Thursday’s update.
Well, it looks like the market waited one additional day to make its turn. For the Dow 30, last Tuesday the 24th, was indeed a high.
We’ll see how far this one goes. It’s a high but whether or not it’s THE high is not known.
Given the market conditions being reported on this site, long positions look tenuous indeed (not advice, not a recommendation).
The ever helpful, knowledgeable financial media says ‘it’s the best month since 1987’. No elaboration on that one is necessary.
The takeaway is, understanding that market pivots tend to occur during a holiday week … when no one is looking.
In other markets, gold (GLD) continues lower and is attempting to take the miners (GDX) down as well; currently oscillating near unchanged.
Biotech pushes into its breakout but at this juncture (11:53 a.m. EST), it looks weak and may not have energy to get to a new all time high.
It should be obvious the manipulators are hard at it … attempting to get the sector (IBB) to move high enough for gains on the long side, then turn around and establish low risk short positions.
Wyckoff noted that under such conditions (exit longs, enter shorts), daily volume will be two-to-three times greater than typical.
Chart of DIA is below … showing reversal since last Tuedsay, the 24th.
Charts by StockCharts