Posted Nov 7, 2015 by Martin Armstrong
The Dow has been electing Daily Bullish Reversals since the start of October. Given the fact that the DAX did break last year’s low on the ECM target and turned up, we may be looking at the breakout to the upside next year for the phase transition.
Our original forecast for the peak in share buy-backs was due now. This trend should start to ease back, but central banks will continue to buy shares as diversification is desperately needed.
The Dow will remain in a bullish posture closing 2015 above 15340, which was last year’s low. Only a closing beneath this level would be technically very bearish and warn of a slingshot type move ahead. Otherwise, the timing potentials for a high remain 2016, 2020, and 2022–2024. A low on any target would imply the next would be a high and vice versa.